Eurofins Scientific has acquired Exova’s environment testing business in Eastern Canada for about CAD 13m. The acquired business includes 5 laboratories in Quebec and Ontario, employing about 160 staff, and generated around CAD 19m of revenues in 2015.
The acquisition reinforces Eurofins’ nascent footprint in Canada, which started with the acquisition in May 2015 of Experchem, a laboratory focused on nutraceuticals testing. Exova’s laboratories, which serve large industrial companies, local authorities and consultants, shall expand the Group’s client reach and provide a wider distribution channel in Eastern Canada for Eurofins’ large range of analytical services. In return, the laboratories will have access to the entire Eurofins portfolio of services and infrastructure, and benefit from the Group’s logistical, clients, suppliers and laboratories network in North America, which should support their development in their respective local markets, and increase their share of their clients’ testing spend.
Comment from Dr. Gilles Martin, Eurofins CEO: “The 5 Exova laboratories in Quebec and Ontario that just joined our Group represent a good strategic fit for Eurofins as they accelerate the deployment of our environment testing capabilities in Canada. Similar to the transaction earlier this year when Eurofins acquired Exova’s food, water and pharmaceutical testing business in the UK and Ireland, I believe this is very positive for both companies, as it enables each of us to focus our resources on our core areas of testing. By enabling more focused investments and higher economies of scale, this should also benefit clients and other stakeholders in the market.”