DC Advisory advised Sysmex on the acquisition of Partec GmbH

Background:

• Partec GmbH, headquartered in Münster and Görlitz, is a pioneer in the field of flow cytometry and cell analysis with dedicated instruments for human healthcare, microbiology, industrial applications, food quality control, as well as plant and animal research
• Flow cytometry combines optical and fluorescence detection techniques with dedicated fluidics, electronics, and computer technology. Flow cytometry allows analysis, including counting and sorting of 100,000 cells or more in less than one minute
• Based on the state of the art mobile and laboratory flow cytometer and reagent product portfolio the Company has gained a strong presence in emerging markets and developing countries for its efforts in such areas as HIV monitoring, malaria diagnostics and other infectious diseases (40% of global HIV/AIDS immune status tests in more than 120 countries rely on Partec’s products)
• The Company is family owned and was founded by Professor Dr. Wolfgang Göhde, who is worldwide known as the inventor and pioneer of fluorescence-based flow cytometry
• In May 2013, Daiwa Corporate Advisory was mandated by Sysmex Corporation, a leading manufacturer of laboratory testing instruments and reagents for clinical laboratories, with revenues of JPY 145.6 billion (USD 1.5 billion) for the fiscal year 2012, to lead the transaction process

Challenges:

• The shareholders of Partec were aiming to close a transaction within Q3 2013 and set up a competitive sales process
• The Asian/German nature of the transaction led to a very complex intercultural transaction environment with a high degree of coordination and hands-on project management required
• Through seamless cooperation between the offices in Frankfurt and Tokyo, DC successfully managed to coordinate requirements of a large, listed Japanese corporation with a small family owned business
• DC exclusively advised Sysmex in Germany and Japan throughout the entire acquisition process, including coordination, due diligence support, valuation, and in the final contract negotiations

Outcome:

• The transaction was signed and closed in September 2013 for an undisclosed price, strengthening Sysmex’s flow cytometry business and accelerating the global reach by leveraging the worldwide sales and support network
• Sysmex expects to further advance in the hematology field by combining flow cytometry technologies – Partec’s key strength – with its own expertise in the hematology and personalized medicine field