Cryoport, Inc. (CYRX), a provider of temperature-controlled supply chain solutions for the life sciences industry, announced Tuesday that it has signed an agreement to acquire MVE Biological Solutions from Chart Industries, Inc. (GTLS). Cryoport will acquire MVE in an all cash transaction valued at $320 million.
Closing of the transaction is expected by the end of the year, subject to regulatory approval and customary closing conditions. The deal is expected to be immediately accretive.
Georgia -based MVE is a provider of manufactured vacuum insulated products and cryogenic freezer systems for the life sciences industry. MVE’s revenue for 2019 was approximately $83.7 million. The company has over 226 employees and three primary facilities.
As a Cryoport company, MVE is expected to expand Cryoport’s role in the cell and gene therapy supply chain ecosystem, a business that is forecasted to grow 30% to 40% per year.
To fund the acquisition, Cryoport is receiving a $275 million investment from funds managed by Blackstone Tactical Opportunities (BX).
Under the investment terms, Blackstone will purchase $250 million of a newly designated Perpetual 4% Series C Convertible Preferred stock of the Company, with a purchase price of $1,000 per share, and $25 million ofcommon stock of the Company.
The remainder of the purchase price for the MVE acquisition will be paid from the company’s cash balance.
In the deal, Morgan Stanley & Co. LLC is acting as exclusive financial advisor to Cryoport.
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