RADNOR,
Pa., Oct. 18, 2024 /PRNewswire/ -- Avantor,
Inc. (NYSE: AVTR), a leading global provider of mission-critical
products and services to customers in the life sciences and
advanced technology industries, announced that it has closed the
divestiture of its clinical services business to Audax Private
Equity in a transaction valued at approximately $650 million. Avantor expects the transaction to
result in approximately $500 million
in after-tax cash proceeds and a reduction of approximately
$50 million in capitalized leases.
After-tax proceeds will be used to paydown debt.
"This transaction not only strengthens our balance sheet and
reduces interest expense, but also enables us to sharpen our focus
on strategic growth opportunities in our lab and production
businesses," said Michael
Stubblefield, President and Chief Executive Officer. "We
extend our gratitude to the associates transferring with the
business for their invaluable contributions and wish them continued
success as they embark on this new chapter under Audax's
ownership."
J.P. Morgan Securities LLC served as Avantor's exclusive
financial advisor in connection with the transaction and Arnold
& Porter LLP served as Avantor's legal advisor. Moelis &
Company LLC served as financial advisor to Audax and Ropes &
Gray LLP provided legal counsel to Audax.
About Avantor
Avantor® is a leading life
science tools company and global provider of mission-critical
products and services to the life sciences and advanced technology
industries. We work side-by-side with customers at every step of
the scientific journey to enable breakthroughs in medicine,
healthcare, and technology. Our portfolio is used in virtually
every stage of the most important research, development and
production activities at more than 300,000 customer locations in
180 countries. For more information,
visit avantorsciences.com and find us
on LinkedIn, X (Twitter) and Facebook.
Forward-Looking and Cautionary Statements
This press
release contains forward-looking statements within the meaning of
Section 27A of the Securities Act of 1933 and Section 21E of the
Securities Exchange Act of 1934, and are subject to the safe harbor
created thereby under the Private Securities Litigation Reform Act
of 1995. All statements other than statements of historical fact
included in this press release are forward-looking statements.
Forward-looking statements discuss our current expectations and
projections relating to our financial condition, results of
operations, plans, including our cost transformation initiative,
objectives, future performance and business. These statements may
be preceded by, followed by or include the words "aim,"
"anticipate," "assumption," "believe," "continue," "estimate,"
"expect," "forecast," "goal," "guidance," "intend," "likely,"
"long-term," "near-term," "objective," "opportunity," "outlook,"
"plan," "potential," "project," "projection," "prospects," "seek,"
"target," "trend," "can," "could," "may," "should," "would,"
"will," the negatives thereof and other words and terms of similar
meaning.
Forward-looking statements are inherently subject to risks,
uncertainties and assumptions; they are not guarantees of
performance. You should not place undue reliance on these
statements. We have based these forward-looking statements on our
current expectations and projections about future events. Although
we believe that our assumptions made in connection with the
forward-looking statements are reasonable, we cannot assure you
that the assumptions and expectations will prove to be correct.
Factors that could contribute to these risks, uncertainties and
assumptions include, but are not limited to, the factors described
in "Risk Factors" in our most recent Annual Report on Form 10-K,
and subsequent quarterly reports on Form 10-Q, as such risk factors
may be updated from time to time in our periodic filings with the
SEC.
All forward-looking statements attributable to us or persons
acting on our behalf are expressly qualified in their entirety by
the foregoing cautionary statements. In addition, all
forward-looking statements speak only as of the date of this press
release. We undertake no obligations to update or revise publicly
any forward-looking statements, whether as a result of new
information, future events or otherwise other than as required
under the federal securities laws.
Global Media Contact
Eric Van
Zanten
Head of External Communications
Avantor
610-529-6219
Eric.VanZanten@avantorsciences.com
Investor Relations Contact
Christina Jones
Vice President, Investor Relations
Avantor
805-617-5297
Christina.Jones@avantorsciences.com
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SOURCE Avantor and Financial News