MDS, a provider of products and services to the global life sciences markets, has entered into an agreement to sell its MDS Analytical Technologies business, a supplier of drug discovery and life sciences research tools, to Danaher of Washington, D.C., for $650 million in cash.
The company said it currently intends to return approximately $400 million to $450 million of the sale proceeds to its shareholders. However, the completion of the sale is subject to shareholder and regulatory approval, and other closing conditions.
Toronto-based MDS also announced that it intends to sell its MDS Pharma Services business, a provider of drug discovery and early-stage development solutions for pharmaceutical and biotechnology companies.
Upon completion of these transactions, the company would be focused solely on its MDS Nordion business, which is a provider of medical isotopes for molecular and diagnostic imaging, radiotherapeutics and sterilization technologies.
“The economic downturn and the prolonged shutdown of Atomic Energy of Canada Limited’s National Research Universal reactor have created significant challenges for our businesses that contributed to this course of action,” said Stephen P. DeFalco, president and CEO of MDS.