Looking to make a big splash in the next-gen pharma manufacturing market, Danaher has laid out $9.6 billion to buy leading contract manufacturer Aldevron.
Aldevron, founded in 1998, is a global player in production of plasmid DNA, mRNA and recombinant proteins used in vaccines, gene and cell therapies, and more. The products have become increasingly popular in recent years, straining many segments of the global supply chain.
The Fargo, North Dakota-based company employs 600 people, and its clients range from biotechs working on early-stage research to commercial drugmakers. Aldevron has additional operations in Madison, Wisconsin.
Recently, the manufacturer completed construction and validation on a 189,000-square-foot facility in Fargo, where it added "significant" GMP manufacturing space. And the company has played a role in the COVID-19 fight by supplying plasmid DNA used to produce mRNA vaccines.
EQT Private Equity is selling Aldevron after acquiring a controlling stake in 2019.
“Genetic medicine is the future and our field is expanding rapidly," Aldevron CEO Kevin Ballinger said in a statement. "EQT has been a great partner to us and played an important role in supporting our company as we scale. Danaher is an excellent strategic fit and new home for Aldevron, and we look forward to working with them.”
When the buyout closes pending regulatory approvals, Aldevron will operate as an independent company inside of Danaher.