Avantor to acquire Ritter GmbH and affiliates for $1B

Avantor Inc. began an agreement to acquire privately held Ritter GmbH and its affiliates for a purchase price of about $1.05 billion, subject to final adjustments at closing and additional payments based on achieving future business performance milestones.

Headquartered in Schwabmünchen, Germany, Ritter manufactures high-quality robotic and liquid handling consumables, which are used in a variety of molecular screening and diagnostic applications: real-time polymerase chain reaction (PCR), non-molecular assays such as immunoassays, emerging high-throughput in vitro diagnostics (IVD) technologies including next generation sequencing, and as part of pharma and biotech drug discovery and clinical trial testing.

Ritter’s manufacturing footprint includes 40,000 square meters of specialized production space and 6,000 square meters of ISO Class 8 cleanrooms that provides significant capacity for continued growth. Much of Ritter’s current business is focused on serving diagnostic system providers and liquid handling OEMs.

“The acquisition of Ritter marks the next step in the ongoing transformation of Avantor,” Michael Stubblefield, president and CEO of Avantor told the press. “The combination will significantly expand our proprietary offering to the biopharma and healthcare end markets and significantly enhance Avantor’s offerings for critical lab automation workflows. Our combined businesses also share similar characteristics including a highly recurring, specification-driven revenue profile and a consumable-driven portfolio of products produced to exacting standards that enhances our unique customer value proposition.”

“This proposed transaction helps both parties, as well as existing and new customers,” said Johannes von Stauffenberg, CEO of Ritter. “Avantor’s broad portfolio is used by thousands of scientists and laboratories in virtually every stage of the most important research, development and production activities. We are excited about combining our high-precision products and state-of-the-art manufacturing capabilities with Avantor’s global reach and strong passion for achieving scientific breakthroughs.”

Since 2011, the company has successfully completed 40 transactions, deployed more than $8 billion in capital and generated well over $350 million in EBITDA synergies.

“We look forward to adding Ritter’s highly skilled team members in Germany and Slovenia to the Avantor family,” Stubblefield added. “Similar to Avantor, Ritter serves highly regulated, specification-driven applications and relies on a collaboration-based innovation model to serve its customers. Both companies share a strong culture of innovation and excellence, as well as a clear commitment to sustainability.”

The transaction is expected to be completed in the third quarter of 2021. MPO Mag