Merck KGaA to buy USA's specialty firm Millipore in deal worth around $7.2 billion

German drug major Merck KGaA has entered into a definitive agreement whereby it will acquire all outstanding shares of common stock of Massachusetts, USA-based biotechnology equipment maker Millipore, for $ 107 per share in cash, or a total transaction value, including net debt of around $890 million, of around 5.3 billion euros ($ 7.2 billion). The deal has been approved by the boards of directors of both companies.

Millipore and Merck will create a $ 2.9 billion world-class partner for the life science sector, achieving significant scale in high-margin specialty products with an attractive growth profile, the German firm announced. The transaction is expected to close in the second half of this year. Merck's shares dipped 1% to 57.23 euros in morning trading today.

Provides expansion into biotech