NEW YORK — Sonic Healthcare announced today the sale of its 85 percent stake in GLP Systems of Germany to Abbott.
Abbot has also acquired the remaining 15 percent interest in GLP. Sonic, an Australian provider of laboratory services, pathology, and radiology services and Abbott, based in Abbot Park, Illinois, have signed a long-term collaboration agreement, and Sonic will remain an important customer of GLP.
Headquartered in Hamburg, GLP has developed a lab automation system which has been installed in eight Sonic labs in Australia, the UK, and Germany, with more planned. Additional GLP automation solutions are in third-party labs in eight countries in Europe.
"Sonic has determined that GLP’s potential will be more fully realized in conjunction with a suitable partner in the IVD equipment market, and that GLP is not core to Sonic's business," the company said in a statement.
Terms of the deal were not disclosed, but Sonic said that it is expected to result in an after-tax profit to Sonic of about €30 million ($34 million). Sonic expects about €80 million of cash, comprising sale proceeds and shareholder loan repayments, to be returned to the company, which it will use to repay debt.
GLP's revenues for 2019 are anticipated to be around €14 million.