Australia's Sonic Healthcare jumps on buying German laboratories for $205 mln

Sonic Healthcare

03/04/2023 04:31

** Sonic Healthcare Ltd  SHL.AX  rises as much as 2.5% to
A$35.70, its highest since Aug. 26, 2022
    ** Medical diagnostics firm says acquired Diagnosticum group
of laboratories operating in Germany for 190 mln euros ($205.03
mln)
    ** Diagnosticum expected to generate revenue of 65 mln euros
in FY2024 - SHL 
    ** SHL says cash- and debt-free acquisition to be funded by
existing cash and debt facilities
    ** Adds deal is immediately EPS-accretive, and return on
invested capital will exceed SHL's cost of capital
    ** SHL set for a fourth straight session of gains; up 16.3%
this year, as of last close, vs a 2% gain in the ASX 200
benchmark index  .AXJO 

($1 = 0.9267 euros)

 (Reporting by Sameer Manekar in Bengaluru)
 ((Sameer.Manekar@thomsonreuters.com; Twitter: https://twitter.com/sameer_manekar))