BY Fraser Tennant
As part of a plan to expand its presence in life sciences, global industrial-machinery company Ingersoll Rand is to acquire engineering development and manufacturing firm ILC Dover (ILC) in a transaction valued at $2.3bn.
The acquisition – which sees Ingersoll buy ILC from New York-based investment company New Mountain Capital, four years after it acquired ILC – also includes an earnout based on meeting specific operating efficiency metrics in 2024.
The transaction will see the integration of ILC with the life science-focused brands of Ingersoll Rand, including Air Dimensions, ILS, Thomas, Tricontinent, Welch and Zinsser Analytic.
“Through ILC, we will get access to approximately 1000 customers in the broader life science and healthcare sectors, where we can leverage our demand generation capabilities to drive incremental growth in other product lines like compressors,” said Vicente Reynal, chairman and chief executive of Ingersoll Rand. “Working together, we will continue to drive sustained growth, lead customer value and innovation, and maximise value creation.”
A world-leader in innovative solutions for biopharmaceutical, pharmaceutical and medical device markets, as well as a leading supplier for the space industry, ILC has a 75-year heritage of innovation and commitment to expanding its product portfolio of mission-critical applications. It serves its global customer base across 11 engineering and production facilities located in North America, Europe and Asia.
“I am excited to combine the Ingersoll Rand and ILC Life Science portfolio of products that allow us to serve our customers from the discovery phase in the laboratory to the commercial production of life saving therapies,” said Corey Walker, president and chief executive of ILC. “Our direct channel access coupled with Ingersoll Rand’s proven growth and efficiency tools will allow us to accelerate our ability to serve customers across their workflows.”
The transaction is subject to customary regulatory approvals and is expected to close in the second quarter of 2024.
“This acquisition is the next phase of our long-term vision to expand into higher-growth end markets like life sciences,” concluded Mr Reynal. “I am incredibly excited to partner with the outstanding team at ILC to enhance our presence in key workflows and applications.”
News: Ingersoll Rand to buy ILC Dover for about $2.33 billion in life sciences push