Danaher Corporation announced today that it has entered into a definitive merger agreement with Pall Corporation by which it will acquire all of the outstanding shares of Pall for $127.20 per share in cash, or a total enterprise value of approximately $13.8 billion, including assumed debt and net of acquired cash.
Pall is a leading global provider of filtration, separation and purification solutions that remove contaminants or separate substances from a variety of solids, liquids and gases. In its fiscal year ended July 2014, Pall generated consolidated revenues of $2.8 billion, with $1.5 billion from its life sciences segment and $1.3 billion from its industrial segment. The life sciences segment serves customers in the fast-growing biopharmaceutical market, as well as food & beverage and medical end markets. The industrial segment serves customers in the process technologies, aerospace and microelectronics markets.
The acquisition has been unanimously approved by the board of directors of each company, and the Pall board of directors has unanimously recommended that Pall shareholders approve the transaction. The transaction is expected to be completed around the end of calendar year 2015.
In a separate news release on the same day, Danaher announced its intention to separate the company into two independent, publicly traded companies. The larger of the two segments, including Pall, will be made up of the life sciences, water quality and dental segments of the existing company. The other segment will include Danaher’s automation and sensors brands.
The transaction is expected to occur through a tax-free separation.
Thomas P. Joyce, Jr. and Daniel L. Comas will continue to serve as president and CEO and executive vice president and CFO of Danaher, respectively, following the completion of the transaction. James A. Lico, currently executive vice president with responsibility for Danaher's Test & Measurement and Gilbarco Veeder-Root businesses, will become president and CEO of NewCo upon separation.