Danaher develops technology for the dental, life sciences, diagnostics and environmental markets. The Washington, D.C.-based company will pay $53 per share in cash for Cepheid. Shares of Cepheid jumped almost 52 percent to $52.26 upon news of the acquisition. The stock closed on Friday at $34.42, according to USA Today.
Cepheid creates molecular systems for genetic testing, which help physicians understand an individual’s genetic make-up to make better informed decisions surrounding diagnosis, prognosis and treatment options. The company expects revenue of up to $635 million for 2016.
The acquisition will not only improve Danaher’s operational efficiencies, but also expand margins for the company’s $5 billion diagnostics division, according to Danaher.
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