Synlab has put up the ‘for sale’ sign on its environmental business, known as Synlab Environment, people with knowledge of the matter told Reuters.
Want to share your news with your industry? Get your article ranked for $10.
Top 1000 Companies Ranked by Revenue – in Multiple Sectors / Countries. Only $99
According to the sources, the planned divestment is taking place as the company seeks to streamline its operations in the run-up to an intended initial public offering in the first half of 2021.
The people said prospective acquirors have been invited to throw their hats into the ring by submitting non-binding approaches next month; Goldman Sachs is said to be advising on the transaction.
They added that a sale of the environmental business could be worth between EUR 300.00 million and EUR 400.00 million, including debt, noting that this equates to 10-12 times its annual core earnings.
None of the parties involved have commented on the report at this time.
Reports of a Synlab IPO emerged in February of this year, when sources close to the matter told Reuters that private equity owner Cinven was preparing to float the business, while also sounding out possible buyers.
The firm has completed a few acquisitions of its own over the years; according to Zephyr, the M&A database published by Bureau van Dijk, the most recent of these closed in July 2018.
That deal saw it pick up Finland-headquartered medical laboratory operator Yhtyneet Medix Laboratoriot for an undisclosed consideration.
Zephyr, the M&A database published by Bureau van Dijk, shows that the largest deal targeting an environmental consultancy services provider to have been announced globally during 2020 so far was worth EUR 1.00 billion.
That transaction took the form of a capital increase as France-headquartered Time for the Planet unveiled plans to raise funds in order to finance the creation of environmentally-conscious companies dedicated to fighting climate change.
© Zephus Ltd