PerkinElmer to pay $5.25B for antibody maker BioLegend

In this Feb. 11, 2021, file photo is the exterior of the PerkinElmer lab in Valencia, Calif. PerkinElmer will spend about $5.25 billion to acquire BioLegend, which makes antibodies used in gene therapy and reagents for drug discovery. The Waltham, Mass., company said Monday, July 26 that it will pay cash and stock for the privately held BioLegend in a deal expected to close by the end of the year. (AP Photo/Marcio Jose Sanchez, File)

PerkinElmer will spend about $5.25 billion to acquire BioLegend, which makes antibodies used in gene therapy and reagents for drug discovery.

The Waltham, Massachusetts, company said Monday that it will pay a combination of cash and stock for the privately held BioLegend in a deal expected to close by the end of the year.

PerkinElmer, which sells testing equipment and scientific instruments, called the acquisition the largest in company history. It estimates that BioLegend will generate $380 million in revenue next year.

BioLegend, headquartered in San Diego, has more than 700 employees based mostly in the United States. Its reagents are used in disease diagnostics as well as drug discovery, a PerkinElmer spokeswoman said.

BioLegend’s products are used in research areas like immunology, oncology and neuroscience. The company's antibodies and reagents are being used to help identify people infected with COVID-19 and to monitor patient immune responses to new treatments and vaccines.

PerkinElmer expects the company to add about 30 cents per share in adjusted earnings in the first full year after the deal closes and then 50 cents per share in the second year.

Shares of PerkinElmer Inc., which also reported better-than-expected, second-quarter earnings Monday, climbed more than 2% to $168.07 in late morning trading while broader indexes were flat.