ICON plc to acquire CRO PRA Health Sciences for $12bn

ICON plc, an Ireland-based contract research organization (CRO), has agreed to acquire PRA Health Sciences in a cash-cum-stock deal worth around $12 billion.

PRA Health Sciences is a US-based contract research organization. The consideration to be paid per share is $80 in cash plus 0.4125 shares of ICON plc.

According to ICON plc, the deal combines two organizations with similar cultures and a common focus on high quality and efficient execution of clinical trials from phase 1 to post-approval studies.

The combined company, post-acquisition, is expected to provide broader service offerings while having an expanded geographic presence among others to benefit biopharma and medical device customers.

The mobile and connected health platforms and real-world data and information solutions of PRA Health Sciences along with ICON plc’s Accellacare site network, home health services, and wearables expertise, will be combined to offer differentiated decentralized and hybrid trial solutions to address the growing requirements of customers.

ICON plc to acquire CRO PRA Health Sciences for $12bn. Photo courtesy of ICON plc.

Dr. Steve Cutler – CEO of ICON plc said: “Both ICON and PRA have track records of robust growth and performance and we are ready to build on this unrivalled position of strength, utilising the outstanding talent in both organizations.

“With broader and deeper operational scale combined with innovative technology and real world data solutions, we will enable all customers to reduce their development time and cost. We will be the leading provider of de-centralized and hybrid trial solutions through the integration of our data capabilities, health platforms and Accellacare site network.”

Following the closing of the deal, PRA shareholders will own nearly 34% of the stake of the enlarged company, while ICON plc shareholders will own the remaining stake of around 66%. The combined contract research organization will be headquartered in Dublin, Ireland.

Colin Shannon – Chairman and CEO of PRA Health Sciences said: “The union of PRA and ICON will create an organization that has the people, data and technology to bring those cures to patients faster and more efficiently than ever before. We are thrilled to be joining with ICON, a company with a similar culture and values.”

The deal, which is subject to regulatory and shareholder approvals and customary closing conditions, is expected to close during Q3 2021.