Key Takeaways:
(P1) Private equity giants Blackstone and TPG completed their $18.3 billion acquisition of medical technology company Hologic on Tuesday, a move that takes the diagnostics specialist private and installs a new leader at its helm. The deal concludes a significant chapter for Hologic, which saw its share price more than triple during the 11-year tenure of outgoing CEO Steve MacMillan.
(P2) "MacMillan forged a dramatic turnaround shortly after joining the Company, led us through years of consistent growth, drove our unprecedented response to the COVID pandemic, and is guiding us through a successful go-private transaction," Amy Wendell, Hologic’s lead independent director, said in a statement.
(P3) As part of the go-private deal, Hologic's stock will be delisted from the Nasdaq. Shareholders are set to receive $76 per share in cash, representing a premium of approximately 27% to the stock's closing price before the deal was announced in October 2025. An additional contingent value right could add up to $3 per share if Hologic's breast health business achieves specific revenue targets in fiscal years 2026 and 2027. Hologic reported revenue of $3.26 billion in its 2025 fiscal year.
(P4) The acquisition signals sustained private equity interest in the MedTech sector, validating the underlying value of established diagnostics and medical device firms. With the leadership change to Joe Almeida, a seasoned executive from companies like Covidien and Medtronic, Hologic is expected to undergo a strategic shift, focusing on long-term growth initiatives away from the quarterly pressures of public markets. The transaction was advised by Goldman Sachs and Evercore for Hologic, and JPMorgan Chase, Morgan Stanley, and Barclays for the private equity consortium.
The appointment of Joe Almeida as CEO marks a new era for the Marlborough, Massachusetts-based company. Almeida's extensive background in the medical device industry, including leadership roles at Covidien and Medtronic, suggests a focus on operational efficiency and strategic growth. He takes over from Steve MacMillan, 62, who is retiring after a successful run that saw Hologic's revenue grow by 65% and its workforce expand by over 1,500 people.
This transaction adds another significant healthcare asset to Blackstone's portfolio. The private equity firm has a history of large-scale buyouts in the sector, including the acquisition of Precision Medicine Group in late 2020 for approximately $2.4 billion. The take-private of Hologic, a major player in mammography and cervical cancer screening, underscores the long-term value private investors see in the diagnostics and women's health markets.
This article is for informational purposes only and does not constitute investment advice.
