Thermo Fisher Shares Plunge Amid $4 Billion Diagnostics Division Sale Strategy

Thermo Fisher Scientific Inc. recently experienced a notable drop of 3.65% in its share price, reaching its lowest point since July 2020. Despite this market fluctuation, the company is reportedly strategizing a divestiture plan, aiming to offload its diagnostics division for approximately $4 billion. This move reflects an effort to fine-tune its asset portfolio by shedding segments that are lagging in growth.

The company, a prominent name in the global pharmaceutical industry, has engaged financial advisors to explore opportunities for selling parts of this diagnostics unit. The division in question includes the microbiology department, known for producing infectious disease testing equipment, which is drawing interest from private equity investors. However, insiders caution that a deal is not assured, and Thermo Fisher retains the option to retain the division if suitable offers do not materialize.

Earlier this year, Thermo Fisher made a significant acquisition, purchasing Solventum's purification and filtration business for $4.1 billion in cash. This recent activity highlights a strategic pivot in Thermo Fisher’s broader corporate strategy, as it seeks to balance growth imperatives with the optimization of its business segments.