- Thermo Fisher Scientific has announced that it will acquire PPD for $47.50 per share.
- After having covered many biotechs for SA, I make sense of this acquisition from the perspective of pharmaceutical research, where PPD operates.
- In this case, by serving its pharma and biotech customer base through a one-stop solution, TMO stands to benefit from significant revenue and cost synergies.
- I also consider the regulatory and talent-related risks.
- TMO has surged since I last covered it, with momentum indicators pointing to a drop, possibly to the $590-600 level, thereby constituting an opportunity to buy for those who do not own the stock.
For further details see:
Both Revenue And Cost Synergies For The PPD-Thermo Fisher Scientific Combination As From 2022