LabCorp to Acquire Covance

LabCorp and Covance have entered into a definitive agreement under which LabCorp will acquire Covance for cash and LabCorp shares currently valued at $105.12 per Covance share, or an equity value of approximately $6.1 billion and an enterprise value of approximately $5.6 billion. LabCorp's Dave King will lead the combined company as Chairman and CEO, and Joe Herring will lead the Covance division, which will continue operating out of Princeton, NJ under the Covance brand. King noted in a press release that the transaction provides LabCorp with immediate scale and a comprehensive market-leading platform in the $141 billion biopharmaceutical research & development market, while at the same time achieving the new sources of revenue, broader payor mix, and greater international presence.

Read the full release here.