Eurofins Scientific has announced that it has entered into an agreement with Element Materials Technology to acquire its life sciences testing services business in North America, for an enterprise value of 400 million dollars. The deal strengthens the group’s network in key US and Canadian regions where it was historically under-represented.
Analysis by the experts at Auris Finance, advisors in mergers, acquisitions and financial engineering.
The business being sold by Element Materials Technology covers a range of testing services for biopharmaceutical products, the environment and the food industry, delivered through a network of 27 laboratories and sites across North America. The business employs around 750 full-time equivalents and is expected to generate annual revenue of more than 150 million dollars in 2026, with profitability broadly in line with the Eurofins group average.
An acquisition aligned with the group’s capital allocation strategy
The deal fits into Eurofins‘ strategy of prioritising capital allocation to its core activities. It allows the group to strengthen the geographic presence of its laboratory network in key US and Canadian regions, filling gaps in a footprint that had until now been incomplete across the North American continent.
Eurofins’ CEO, Gilles Martin, notes that the acquired business will be able to draw on a high-performing, digitised laboratory platform, in order to deliver a high level of service to clients across the continent.
An asset carved out from the portfolio of a global testing and certification leader
Element Materials Technology, owned by Singaporean fund Temasek, is a global player in testing, inspection and certification services. The sale of its North American life sciences business to Eurofins reflects a strategic refocus by Element, while for Eurofins it represents a targeted external growth deal, in line with the gradual consolidation of the global analytical testing market.
A deal still subject to regulatory clearances
The transaction remains subject to customary conditions, in particular the receipt of regulatory clearances. Closing is expected in the fourth quarter of 2026. Once integrated, the 27 laboratories concerned will add to Eurofins‘ existing network, whose hub-and-spoke organisation is designed to optimise geographic coverage and the pooling of analytical capacity.
The deal confirms the continuation of a structured external growth strategy at Eurofins, in a life sciences testing and analytics sector where critical mass and geographic coverage are key competitiveness drivers, particularly close to the main clinical trial and biopharmaceutical production hubs.
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