Brooks Automation Announces the Acquisition of GENEWIZ Group

26 September 2018

Brooks Automation, Inc. today announced that it has entered into a definitive agreement to acquire GENEWIZ Group, a leading global genomics service provider headquartered in South Plainfield, New Jersey.  The total cash purchase price for the acquisition will be approximately $450 million, subject to working capital and other adjustments.  The transaction is expected to close by the end of this calendar year upon satisfaction of customary closing conditions and regulatory approvals.

GENEWIZ is a global leader in genomics services that enable research scientists to advance their discoveries within the pharmaceutical, academic, biotechnology, agriculture and other markets.  The company provides gene sequencing and synthesis services for more than 4,000 institutional customers worldwide supported by their global network of laboratories spanning the United States, China, Japan, Germany and the United Kingdom.  GENEWIZ, founded in 1999, is privately-held.

Commenting on the transaction, Dr. Steve Schwartz, President and Chief Executive Officer of Brooks Automation, stated, "This is an exciting day for Brooks as we announce the pending acquisition of GENEWIZ, which will be our largest acquisition to date in Life Sciences. The GENEWIZ team has built a strong business, which customers trust to provide industry-leading scientific capabilities and superior service.  This transaction is more than just an addition to our Life Sciences business as GENEWIZ will add a new and innovative platform which we expect to leverage, along with our core capabilities, to add even more value to samples under our care."

Dr. Amy Liao is a co-founder and the Chief Executive Officer of GENEWIZ, and will continue to lead the business under Brooks' ownership.  Dr. Liao commented, "We bring twenty years of experience, leading sequencing and synthesis capabilities, deep customer relationships, and more than 1,000 very excited employees into Brooks.  We know that Brooks' strength in the sample management market will open more doors to customers for our services and we look forward to developing this exciting new chapter of growth together as part of the Brooks team."

Management expects GENEWIZ to exceed $140 million in revenue in the next twelve months, which corresponds to Brooks' fiscal year, and expects the acquisition will immediately be accretive to non-GAAP earnings.  The Company will fund the acquisition from cash on the balance sheet supplemented with incremental debt.

In connection with the transaction, Evercore acted as the exclusive financial advisor and Mintz, Levin, Cohn, Ferris, Glovsky and Popeo acted as legal counsel to Brooks Automation.  Morgan Stanley Senior Funding, Inc. is providing committed financing for this transaction.  Jefferies LLC acted as financial advisor and Shearman & Sterling acted as legal counsel to GENEWIZ.