Agilent completes Varian acquisition
Agilent becomes global leader in bio-analytical measurement
Agilent Technologies has finalised its US$1.5bn purchase of scientific equipment maker Varian.
Agilent becomes a leading provider of analytical instrumentation to the applied and life sciences markets, in a deal that brings together two Silicon Valley pioneers.
Bill Sullivan, president and ceo of Agilent, said: ‘The Varian acquisition – the largest in our company’s history – furthers our evolution toward becoming a global leader in bio-analytical measurement.’
The majority of Varian’s product lines will become part of Agilent’s Chemical Analysis Group (CAG), while some key businesses will be housed within Agilent’s Life Sciences Group (LSG).
‘This strengthens our leading position in the chemical analysis market,” said Mike McMullen, senior vice president and president of CAG at Agilent. ‘We will also add a new vacuum technologies business to Agilent, which will continue to operate as a standalone business unit within Agilent.’
Agilent also gains Varian’s Research Products business (including NMR, or nuclear magnetic resonance, MRI and X-ray), which will reside in LSG.
‘These technology platforms will open new doors for Agilent and its customers,’ said Nick Roelofs, Agilent senior vice president and president of LSG. ‘This technology will play a key role in Agilent’s growth through applications such as pharmaceutical and therapeutics.
‘In addition, Agilent can build on its expertise as the worldwide leader in radio frequency [RF] and electromagnetic transmit-and-receive technology by being the first to bring that expertise to the field of magnetic resonance,’ he said.
Varian is expected to add about $370m of additional revenue in the second half of Agilent's fiscal year 2010.
Agilent reported revenues of $1.27bn for the second quarter ended 30 April, a 16% increase over the previous year. Second quarter net income was $108m, compared with a second quarter net loss of $101m in the previous year.
‘Overall, Agilent had a very solid second quarter,’ said Sullivan. ‘All of our businesses performed well.’