Blackstone, TPG plan to take Hologic private in a deal worth more than $13 billion

Key Points

• Private equity firms Blackstone and TPG are set to acquire women's health company Hologic for over $13 billion.
• The acquisition deal entails a payment of up to $79 per share, representing a 46% premium from Hologic's stock price in late May.
• The total value of the deal, accounting for Hologic's cash, investments, and debt, rises to $18.3 billion.
• The transaction needs regulatory and shareholder approval and is expected to close in the first half of next year.

Private equity firms Blackstone and TPG will spend more than $13 billion to buy women’s health specialist Hologic.

The companies said Tuesday they will pay up to $79 for each Hologic share in a deal that takes the company private.

Shares of Hologic rose after markets opened Tuesday. The companies said the price represents a premium of about 46% to the stock’s closing price in late May, before media reports surfaced about a possible deal.

The terms include $76 in cash for each share plus extra payments when the deal closes and if the company’s breast health business meets some revenue goals.

Overall, the deal’s value rises to $18.3 billion when counting Hologic’s $2.2 billion in cash and short-term investments and $2.5 billion in debt.

Hologic makes mammography systems, breast imaging technology and biopsy equipment, among other products.

Regulators and Hologic shareholders still need to approve the deal, which is expected to close in the first half of next year. Hologic’s board has already unanimously approved it.

After the deal, Hologic shares will be delisted from the Nasdaq stock exchange. The company will keep its name and Marlborough, Massachusetts, headquarters.

Hologic Inc. shares climbed nearly 4% to $74.62 in late-morning trading while broader indexes were mixed.