Blackstone, TPG to Take Hologic Private for $18.3B

Private equity firms Blackstone and TPG agreed to take medical-device maker Hologic private in a deal valued at as much as $18.3 billion including debt, with $76 per share in cash plus contingent value rights of up to $3 per share. The CVRs, payable in two $1.50 installments, are tied to breast-health revenue targets. The enterprise value calculation reflects Hologic’s roughly $2.2 billion in cash and $2.5 billion in debt. Hologic’s board has unanimously approved the buyout, which includes other investors such as the Abu Dhabi Investment Authority, and the buyers said they will keep the company’s Marlborough headquarters. The transaction still requires shareholder and regulatory approvals and is expected to close next year. Hologic’s stock jumped on takeover reports and the announcement.