Thermo Fisher Scientific (Waltham, Mass.) has agreed to buy Biolab, the scientific and medical division of Alesco (Sydney, Australia), for AUD $175 million (approximately $120 million, at current exchange rates). The transaction is expected to close by the end of the month.

In March, industrial conglomerate Alesco announced that it was investigating the potential sale of Biolab, which it acquired in 2003. With annual revenue of approximately AUD $170 million (approximately USD $120 million) and 420 employees, Biolab is the leading provider of analytical instruments, life science consumables, and laboratory equipment for the scientific, environmental, and healthcare markets in Australia and New Zealand.

"As the premier commercial channel in Australia, New Zealand and the South Pacific, Biolab offers a broad portfolio of products and services to support Thermo Fisher's continued growth in the region," said Marijn E. Dekkers, president and CEO of Thermo Fisher, in a statement released yesterday announcing the deal. "This acquisition significantly strengthens our presence in these markets."

Biolab will be integrated into Thermo Fisher's laboratory products and services segment. The segment reported a 9% increase in revenues to $6.45 billion in 2008, compared with $5.91 billion in 2007. So far this year, laboratory products and services revenues declined 9% in the first quarter of 2009 to $1.42 billion, compared with 2008 revenues of $1.57 billion.