Private equity firms to acquire Hologic for $18.3B
Two private equity firms are slated to acquire breast imaging vendor Hologic for $18.3 billion, those involved announced Tuesday morning.
Blackstone and TPG have reached a definitive agreement to acquire the Marlborough, Massachusetts-based company for approximately $79 per share. Under terms of the agreement, funds managed by the two firms will pay $76 per share in cash plus a non-tradable contingent value right to receive up to $3 per share.
The price represents a premium of 46% over Hologic’s closing price on May 23, the last full trading day prior to initial media reports of a potential sale.
“Today marks an exciting new chapter for Hologic as we join forces with the exceptional teams at Blackstone and TPG,” Stephen P. MacMillan, Hologic’s chairman, president and CEO, said in a statement Oct. 21. “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. This transaction delivers immediate and compelling value to Hologic stockholders, reflecting the dedication of our employees whose hard work has made this milestone possible.”
The Financial Times first hinted at the potential sale in a report published earlier this year, citing anonymous sources. At the time, the outlet estimated the bid was approximately $16 billion.
Hologic said the transaction is expected to be finalized in the first half of 2026, subject to approval by its own stockholders, regulators, and other customary closing conditions. The Hologic board already has granted unanimous approval to the merger agreement, recommending that shareholders do the same.
Blackstone and TPG have secured financial commitments for the transaction, delivering a letter stating so from Citi, Bank of America, Barclays, Royal Bank of Canada and SMBC. This also includes equity commitments from funds advised by Blackstone and TPG that, considering each firm’s balance sheet, are “sufficient to fund the purchase price and pay related fees and expenses at closing.” Blackstone’s private equity strategy for individual investors also is expected to invest as part of the deal, and TPG is contributing through TPG Capital, its U.S. and European private equity platform.
Upon completion of the transaction, Hologic’s common stock will be delisted from the Nasdaq stock market. Hologic will maintain its Massachusetts headquarters and continue operating under the same name and brand.
Those involved said the merger is still subject to a 45-day “go shop” period. This will allow Hologic and its advisors to solicit and negotiate alternate bids from third parties. Hologic’s board will have the right to terminate the merger agreement and enter an alternate transaction. There is no assurance this process will result in a higher bid, those involved emphasized, and Hologic does not intend to disclose updates on the process, unless a superior bid emerges.
“Hologic is an outstanding global leader in advancing women’s health, with a longstanding reputation for groundbreaking and high-quality medical device and diagnostic products,” Ram Jagannath, a senior managing director at Blackstone, said in the same statement. “We have closely followed the company for many years and long admired the positive impact its life-changing technologies have had for millions of patients worldwide. We are thrilled to partner with its highly talented and capable employees, alongside TPG, to further invest in Hologic’s continued product innovation and growth.”
“Investing behind healthcare innovation has been a core focus for TPG for decades, and Hologic represents a compelling opportunity to draw upon our deep thematic expertise to support the development of next-generation solutions that will continue to promote strong clinical results and enhance patient care,” added John Schilling, MD, co-managing partner of TPG Capital. "We’re proud to partner with the Hologic team and Blackstone in this exciting new chapter.”
Founded in 1985, Hologic is a global leader in women’s health, developing a portfolio of products that includes mammography systems, DXA systems and more.
This is a developing story. Radiology Business will have further details.
Marty Stempniak has covered healthcare since 2012, with his byline appearing in the American Hospital Association's member magazine, Modern Healthcare and McKnight's. Prior to that, he wrote about village government and local business for his hometown newspaper in Oak Park, Illinois. He won a Peter Lisagor and Gold EXCEL awards in 2017 for his coverage of the opioid epidemic.