Thermo Fisher has secured an acquisition aimed at helping the company grow its clout in pharma.
This week, the company announced plans to buy PPD, a North Carolina-based contract research organization, in a deal worth $17.4 billion.
The deal is the latest in a string of major CRO-related hookups in the last few years. In February, for example, Icon and PRA Health tied up in a megamerger worth $12 billion.
Thermo has also been on a roll with its strategic deal-making. In 2019, the company bought Brammer Bio, which specializes in viral vectors for gene therapies, for $1.7 billion. Two years earlier, Thermo snapped up Patheon, a contract drug manufacturer, to help it become an end-to-end CDMO.
Thermo’s CEO said the new deal with PPD is a “natural extension” of its current pharma capabilities.
The company is also in the midst of pumping $600 million into its pharma manufacturing capital investments between now and 2022, a strategy partially fueled by COVID-19 related work.
