Contract research firm PPD to go private in $3.9 billion acquisition

USA-based contact research organization Pharmaceutical Product Development (Nasdaq: PPDI) says it has entered into a definitive agreement to be acquired by affiliates of The Carlyle Group and Hellman & Friedman in an all-cash transaction valued at $3.9 billion, after which PPD will be a private company.

Under the terms of the accord, Carlyle and Hellman & Friedman will acquire the outstanding common shares of PPD for $33.25 per share in cash, representing a 29.6% premium over PPD’s closing price on September 30, 2011. The transaction is currently expected to close in the fourth quarter of this year, but PPD is free to solicit acquisition proposals from third parties for a period of 30 calendar days from the date of the merger agreement.

Confirms previous rumors