Merck KGaA to buy Bio-Techne for $11.3 billion

Germany's Merck KGaA has reached an agreement to acquire Bio-Techne ↘ 0.01%, a Minneapolis-based life sciences tools company, in a cash deal valued at approximately $11.3 billion (€9.9 billion). The offer of $73 per share represents a premium of roughly 36% over Bio-Techne's recent volume-weighted average price, marking the largest acquisition by the Darmstadt-based conglomerate since its €13.1 billion purchase of Sigma-Aldrich in 2015.merckgroup+1

Bio-Techne shares surged more than 22% in extended trading on Tuesday to $71.86 after closing at $58.88 during the regular session, reflecting investor anticipation of the deal's completion.MarketBeat

Strategic Rationale

The acquisition deepens Merck KGaA's footprint in the life sciences tools market, adding Bio-Techne's portfolio of reagents, proteins, and instruments to the German company's existing MilliporeSigma division. Former CEO Belén Garijo had signaled that Merck had "appetite for M&A with the priority on life science" and was examining a "broad spectrum" of targets, while the company was reported to have as much as €20 billion in dealmaking firepower.Tiger Brokers+1

Bio-Techne, which trades on the Nasdaq ↘ 0.35% under the ticker TECH, has faced headwinds in recent quarters. The company reported a 2% year-over-year revenue decline to $311.4 million in its fiscal third quarter ended March 2026, hurt by U.S. academic funding cuts. Its stock had been flat year-to-date prior to the deal, trading about 17% below its 52-week high.perplexity+2

Activist Pressure Preceded the Deal

The transaction comes just ten days after activist investor Ananym Capital Management publicly urged Bio-Techne's board to conduct a strategic review, including a potential sale. In a letter reviewed by Bloomberg, Ananym argued that a sale to a larger industry player would unlock more value than the company could create independently. "Shareholders have suffered for years as the company has continued to destroy value," Ananym wrote, warning of "permanent capital impairment" without action.bloomberg+1

The deal extends Merck KGaA's aggressive dealmaking streak under new CEO Kai Beckmann. Over the past year, the company completed its $3.9 billion acquisition of SpringWorks Therapeutics, closed the $600 million Mirus Bio purchase, and acquired the chromatography unit of JSR's life sciences business.Merck KGaA. (8/1/24). "Press Release: Merck Closes Mirus Bio Acquisition, Bolstering Viral Vector Bioprocessing Offering". Darmstadt. - [LSUS] Life-Sciences-USA.com+3