Eurofins to expand its US Environment Testing offering with the acquisition of TestAmerica
Monday, October 1, 2018
Test America will expand the footprint and complement the service offering of Eurofins’ Environmental Testing Business in the USA
Eurofins Scientific (EUFI.PA), a global scientific leader in bioanalytical testing, announces that it has signed an agreement with the JSTI Group (Shenzen Stock Exchange Stock Code 300284), a global provider of Environmental Consulting and Engineering solutions, to acquire TestAmerica Environmental Services LLC (“TestAmerica”). The transaction is expected to close in the fourth quarter of 2018 subject to the fulfilment of regulatory and customary closing conditions.
TestAmerica, which became part of JSTI through its acquisition in September 2016, operates an integrated network of 24 full service testing laboratories and 40 service centres throughout the USA. TestAmerica should generate revenues of over US$230 million in 2018 and employs over 2,000 staff.
The scope of services offered by TestAmerica includes Wet Chemistry, Trace Organics and Specialty Testing and Metals & Inorganics Testing across all matrices including air, water, soil and Tissue. Through its subsidiaries, TestAmerica also provides Air Emissions and Source Testing (Metco Environmental), Indoor Air Quality Testing (EMLab P&K) and Environmental Testing Field Supply Services (ESS).
The agreed acquisition price is US$175 million on a cash free debt free basis. As Eurofins and TestAmerica have a largely complementary geographic footprint and technical offering, restructuring of either business is expected to be minimal, the focus being on further enhancement of consolidated service offering to the market, and scale economies with respect to rare tests, R&D, operational costs and operational optimization/harmonization/specialization of sites to improve efficiencies.
Comment from Dr. Gilles Martin, Eurofins CEO: “We are extremely pleased to welcome TestAmerica and its talented teams to the Eurofins Group. Its competencies, reputation for scientific excellence and complementary geographic footprint, client focus and service offerings further strengthen Eurofins’ global offering in the very competitive environmental testing market. We look forward to working together as an integrated network of independent state-of-the-art laboratories providing our customers access to the full range of services, high quality standards and technological capabilities of the combined Group.”
Comment from Ms. Rachel Brydon Jannetta, TestAmerica CEO: “Today is a milestone in the history of our business. I am personally very excited about joining forces with Eurofins and look forward to a bright future as we move ahead with new owners who already operate within the environmental testing industry globally, as well as being market leaders in several other important scientific testing arenas”.
For more information, please visit www.eurofins.com or contact:
Phone: +32 2 766 1620
Notes for the editor:
Eurofins – a global leader in bio-analysis
Eurofins Scientific through its subsidiaries (hereinafter sometimes “Eurofins” or “the Group”) believes it is a scientific leader in food, environment and pharmaceutical products testing and in agroscience CRO services. It is also one of the independent market leaders in certain testing and laboratory services for genomics, discovery pharmacology, forensics, CDMO, advanced material sciences and for supporting clinical studies. In addition, Eurofins is one of the emerging players in specialty clinical diagnostic testing in Europe and the USA. With over 38,000 staff in more than 400 laboratories across 44 countries, Eurofins offers a portfolio of over 150,000 analytical methods for evaluating the safety, identity, composition, authenticity, origin and purity of biological substances and products, as well as for innovative clinical diagnostic. The Group objective is to provide its customers with high-quality services, accurate results on time and expert advice by its highly qualified staff.
Eurofins is committed to pursuing its dynamic growth strategy by expanding both its technology portfolio and its geographic reach. Through R&D and acquisitions, the Group draws on the latest developments in the field of biotechnology and analytical chemistry to offer its clients unique analytical solutions and the most comprehensive range of testing methods.
As one of the most innovative and quality oriented international players in its industry, Eurofins is ideally positioned to support its clients’ increasingly stringent quality and safety standards and the expanding demands of regulatory authorities around the world.
The shares of Eurofins Scientific are listed on the Euronext Paris Stock Exchange (ISIN FR0000038259, Reuters EUFI.PA, Bloomberg ERF FP).
This press release contains forward-looking statements and estimates that involve risks and uncertainties. The forward-looking statements and estimates contained herein represent the judgment of Eurofins Scientific’s management as of the date of this release. These forward-looking statements are not guarantees for future performance, and the forward-looking events discussed in this release may not occur. Eurofins Scientific disclaims any intent or obligation to update any of these forward-looking statements and estimates. All statements and estimates are made based on the information available to the Company’s management as of the date of publication, but no guarantee can be made as to their validity.