Blackstone and TPG Approach $17 Billion Acquisition of Hologic in Major Healthcare Buyout

Private equity giants Blackstone and TPG are nearing an agreement to acquire Hologic, the manufacturer of diagnostic and medical imaging equipment for women's health, in a transaction that could value the company at more than $17 billion including debt. According to people familiar with the matter, the firms are finalizing terms that would price Hologic shares at more than $75 each, representing a significant premium to recent trading levels that reflects strong investor appetite for healthcare assets with recurring revenue streams.

A formal announcement could occur within days, though negotiations remain fluid and could still collapse. If completed, the transaction would rank among the largest leveraged buyouts in the healthcare sector in recent years, highlighting private equity's renewed confidence in the medical technology and diagnostics market after a period of rising borrowing costs and subdued dealmaking. This development marks a substantial shift for Hologic, which has spent the past decade transforming from a cyclical imaging business into a diversified provider of diagnostic products and laboratory instruments, including widely used cancer screening tests.

Hologic, based in Marlborough, Massachusetts, has demonstrated steady performance in the post-pandemic diagnostics market, benefiting from its reputation for high-margin products and reliable cash flow. The company's shares rose approximately 2% on Friday and climbed an additional 6% in after-hours trading following Bloomberg's report of the potential deal. This rally follows an earlier movement sparked by 9fin's report of a $9 billion financing package being assembled by Blackstone and TPG to fund the acquisition, as detailed in their coverage at https://www.9fin.com/.

The potential buyout extends a busy year for both private equity firms. Blackstone has intensified its push into healthcare platforms, while TPG has actively sought opportunities in diagnostics and biotech services. For both organizations, Hologic represents an attractive combination of stable cash generation and technological innovation in women's health, an area considered resilient to broader economic fluctuations. The acquisition would demonstrate how private equity firms are targeting healthcare companies with strong fundamentals and defensive characteristics during uncertain economic conditions.

While a final agreement has not been reached, and both sides continue to discuss valuation, financing, and governance terms, the ongoing negotiations suggest that private equity's appetite for large-scale healthcare deals is regaining momentum. This potential transaction underscores the strategic importance of women's health diagnostics and the value private equity sees in companies with established market positions and predictable revenue streams. The development also highlights the evolving landscape of healthcare investment, where firms are increasingly targeting specialized segments with growth potential and technological differentiation.