Waters Joins BD's Biosciences Unit to Form Life Sciences Powerhouse
Deal News | Jul 15, 2025 | PR Newswire Cision Waters Corporation; BD (Becton, Dickinson and Company)
Waters Corporation and BD (Becton, Dickinson and Company) have entered into a definitive agreement to merge BD's Biosciences & Diagnostic Solutions division with Waters Corporation. This strategic $17.5 billion merger, executed as a Reverse Morris Trust transaction, aims to create a leader in the life sciences and diagnostics sectors. The merger is expected to double the total addressable market for Waters to $40 billion and achieve significant EBITDA and revenue synergies by 2030. The resulting entity will focus on regulated, high-volume testing sectors, offering top-tier financial growth prospects with a projected pro forma revenue of $6.5 billion and EBITDA of $2.0 billion for 2025. The merged company plans to leverage complementary technologies and expand into adjacent high-growth markets. Approved by both companies' boards, the transaction expects completion in the first quarter of 2026, subject to regulatory approvals, and aims for significant shareholder value creation.
Sectors
- Life Sciences
- Diagnostics
- Medical Technology
Geography
- United States – Both Waters and BD are headquartered in the U.S., and the transaction involves significant operations and financial activities in the country.
Industry
- Life Sciences – Relevant as both companies are leaders in analytical instruments and diagnostics for life sciences.
- Diagnostics – The merger focuses on expanding high-volume testing and diagnostic solutions, which are key areas in the diagnostics sector.
- Medical Technology – BD is a major player in the medical technology field, contributing to the merger's innovations in diagnostics and health solutions.
Financials
- 17.5 billion – The total value of the transaction between Waters and BD.
- 40 billion – Anticipated total addressable market for Waters post-merger.
- 6.5 billion – Projected pro forma revenue for the merged entity in 2025.
- 2.0 billion – Projected pro forma EBITDA for the merged company in 2025.
- 345 million – Expected annualized EBITDA synergies from the merger by 2030.
- 4 billion – Cash distribution BD will receive as part of the transaction.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| Waters Corporation | Acquirer | Company | A leader in analytical instruments, technologies, and software for life sciences. |
| BD (Becton, Dickinson and Company) | Vendor | Company | A global medical technology company, selling its Biosciences & Diagnostic Solutions division to Waters. |
| BD Biosciences & Diagnostic Solutions | Target Company | Company | A division of BD focused on immunology, cancer research, and diagnostics, to be merged with Waters. |
| Barclays | Financial Advisor | Company | Advisor to Waters on the merger. |
| Citi | Financial Advisor | Company | Principal financial advisor to BD. |
| Evercore | Financial Advisor | Company | Advisor to BD alongside Citi. |
| Kirkland & Ellis LLP | Legal Advisor | Company | Legal advisor to Waters. |
| Wachtell, Lipton, Rosen & Katz | Legal Advisor | Company | Principal legal advisor to BD. |