New Mountain Capital in advanced talks to buy VWR Corp for nearly $5 bn

Private-equity firm New Mountain Capital is in advanced talks to buy VWR Corp in a deal that could value the laboratory equipment supplier at nearly $5 billion, the Wall Street Journal reported, citing sources.

A deal may be concluded as soon as this week, the report said.

The report sent shares of VWR Corp soaring by 19 per cent yesterday in mid afternoon trading and closed at $33.62.

Founded in 1852, VWR Corp distributes research laboratory products, with over 1,200,000 items to more than 250,000 customers in North America and Europe.

VWR serves the government, biotechnology, life science, education, electronics, and pharmaceutical sectors.

Its suppliers include Applied Scientific, 3B Scientific Duracell, Kimberly-Clark, Bel-Art Products, and Welch Allyn.

The Pennsylvania-based company, which has a market cap of $4.43 billion, has large investors that include Fox Run Management, Private Bank & Trust Co, Capstone Asset Management, Regentatlantic Capital, Highbridge Capital Management, and Nicholas Co.

VWR Corp has recently been on an acquisition spree, having acquired laboratory and medical equipment and ancillary supplier to clinical trials, MESM Ltd, for an undisclosed sum last month.

VWR Corp has annual revenues of $4.38 billion and employs around 8,000 people.