With Blackstone and TPG acquiring Hologic in an $18.3 billion deal, the IVD industry sees yet another high-value transaction, following the BD-Waters merger and Siemens’ reported divestiture talks.
For laboratory leaders, another major consolidation in diagnostics is underway, according to a press release. Hologic, Inc., a key player in women’s health diagnostics, imaging, and molecular testing, has agreed to be acquired by Blackstone and TPG in a deal valued at up to $18.3 billion, signaling continued investor confidence in the in vitro diagnostics (IVD) sector despite ongoing market volatility.
Industry professionals are taking notice of the broader implications. On LinkedIn, Bruce Carlson, an IVD market specialist with Kalorama Information, noted that Hologic’s sale, “including imaging and IVD assets,” comes at “a 4½x multiple,” calling it “a lot of lettuce, as they used to say.” Carlson added that with multiple large IVD transactions this year, “the question is whether people want out of the business, or want to cash in on values that are up. This multiple seems to argue the latter.”
Featured in the August 4 edition of The Dark Report, a similar move unfolded with Waters Corporation and BD, which recently announced a $17.5 billion merger combining BD’s Biosciences & Diagnostic Solutions business with Waters. The deal will create a major player spanning life sciences and diagnostics, another sign of consolidation and growing investor interest across the IVD sector.
On September 19, Dark Daily reported that according to BloombergSiemens Healthineers is in early talks with Blackstone, KKR, and others about selling its diagnostics division, potentially valued at over €6 billion ($7 billion). If completed, the move would mark another major shake-up in the IVD sector, coming on the heels of the
Waters-BD Diagnostics merger, and could signal further consolidation and portfolio realignment among top diagnostic manufacturers.
The Agreement
Under the terms of the agreement, Hologic shareholders will receive $76 per share in cash, plus a non-tradable contingent value right (CVR) worth up to $3 per share, tied to revenue targets in the company’s Breast Health division in fiscal years 2026 and 2027.
The deal represents a 46% premium over Hologic’s May 23, 2025 closing price, before reports of a potential sale surfaced.
Private equity firms Blackstone and TPG will lead the acquisition, with minority investments from the Abu Dhabi Investment Authority (ADIA) and GIC.
The transaction, pending shareholder and regulatory approval, is expected to close in the first half of 2026, after which Hologic will be taken private and delisted from Nasdaq.
Hologic Chairman, president, and CEO Stephen P. MacMillan said “With their resources, expertise and commitment to women’s health, Blackstone and TPG will help accelerate our growth and enhance our ability to deliver critical medical technologies to customers and their patients around the world.
Hologic Chairman, president, and CEO Stephen P. MacMillan also noted that, “This transaction delivers immediate and compelling value to Hologic stockholders, reflecting the dedication of our employees whose hard work has made this milestone possible.” (Photo credit: Hologic)
For laboratory executives, this move underscores the ongoing realignment of the diagnostics sector, where high valuations and strong post-pandemic revenues continue to draw private equity interest. The deal could influence valuations for mid-tier lab tech firms and diagnostic innovators as investors seek scalable platforms with stable revenue streams.
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Bloomberg reports Siemens is in early discussions with Blackstone, KKR, and others about selling its diagnostics division. What could that mean for the future of in vitro diagnostics and market dynamics?
Bloomberg speculated in a recent article that Siemens has been holding “exploratory discussions” with some of the largest private equity firms regarding a sale of its diagnostics arm.
The possible divestment of Siemens Healthineers’ diagnostics business is more than just a corporate strategy shift. For laboratory leaders, it could signal major changes for clinical laboratories worldwide. As one of the largest players in in vitro diagnostics, Siemens has long been a key supplier of systems and reagents used to process millions of patient samples.
The report that Siemens is in early discussions to sell this division to private equity firms raises critical questions for lab leaders: What could this mean for continuity, innovation, pricing, and support? As healthcare systems globally face pressure to do more with less, any disruption or optimization in lab operations can have effects on patient care and operational stability.
In the most recent edition of The Dark Report, Siemens was ranked as #5 (tied with BD) in its article on the top IVD companies by diagnostic revenue.
Private Equity Firms Reportedly in Early Talks
Bloomberg said that sources, who do not want to be identified, noted that Blackstone Inc., CVC Capital Partners Plc, and KKR & Co. were in “early talks” with Siemens and other individuals commented that Montagu had previously expressed interest.
The article explained, “The diagnostics unit could be valued at more than €6 billion ($7 billion) in a transaction, according to some of the people. Advisers could be appointed at a later stage if discussions proceed into formal stages, the people said.”
The sources noted to Bloomberg that there was no guarantee that any of the discussions would come to fruition and representatives from Siemens Healthineers, Blackstone, CVC, KKR, and Montagu declined to comment to Bloomberg.
Photo credit: RonaldCandonga
The article added, “Based in Erlangen, Bavaria, Siemens Healthineers started a review of the diagnostics business more than two years ago. The in vitro diagnostics operations test samples of blood and tissue to identify diseases and infections. The imaging division and the Varian unit that focuses on cancer-care technologies wouldn’t be part of any sale.”
As of Sept. 10, shares of Siemens Healthineers gained as much as 3.6%—the largest intraday advance since May 12, after Bloomberg News reported on the matter. “The stock has still fallen about 6% this year, giving the company a market value of around €54 billion,” the article added. “The company’s largest shareholder is German engineering group Siemens AG, which has a stake of roughly 71%, according to data compiled by Bloomberg.”
Strategic Updates Expected at Capital Markets Day
Siemens Healthineers is set to host its Capital Markets Day on November 17, an event typically used to present its business strategy and financial targets. In February, Siemens reduced its stake in Healthineers through a €1.4 billion share placement. The company is currently reviewing its remaining holdings in Healthineers and intends to provide a strategic update to investors in December.
On Sept. 15, Finimize reported that Bank of America maintains its buy rating and €65 target for Siemens Healthineers, citing strong demand, increased hospital spending in the US and Europe, and potential growth in China by 2026.
A possible sale of its diagnostics division, that is currently a drag on growth and margins, could streamline the business and boost profitability. According to Finimize, management says the sale wouldn’t affect core areas like imaging and radiotherapy. Investors are looking at this situation closely for strategic updates at the aforementioned upcoming Capital Markets Day and full-year results.
For investors, selling diagnostics could simplify the company, lift growth, and fuel share price momentum. For the sector, Siemens’ strategy shift could influence other medtech firms aiming for leaner options and rising global healthcare demand.
IVD Market in Flux
In August, TheDark Reportreported that at an unusually fast pace, announced in February and finalized by July, BD’s Biosciences & Diagnostics Solutions business entered a definitive agreement to combine with Waters.
For laboratory leaders, the potential sale of Siemens’ diagnostics division, and perhaps the recent news about BD and Waters, is a development that could reshape the diagnostic supplier landscape. Whether it leads to improved focus and investment under new ownership or introduces uncertainty around product lines and service levels, it’s essential to stay informed. Labs should be proactive in engaging with vendor representatives, assessing supply chain resilience, and preparing for potential shifts. This is a pivotal moment where business decisions at the top could ripple directly into the day-to-day realities of the lab.
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