Fortrea to Acquire Majority Stake in Indian CRO

TL;DR

Fortrea buying a big piece of an Indian CRO to boost global presence.

AI Summary

Fortrea Holdings Inc. announced on June 3, 2024, that it has entered into a definitive agreement to acquire a majority stake in a leading clinical research organization (CRO) based in India. This strategic acquisition is expected to significantly expand Fortrea's global footprint and enhance its service offerings, particularly in the Asia-Pacific region. The transaction is anticipated to close in the third quarter of 2024, subject to customary closing conditions.

Why It Matters

This acquisition allows Fortrea to expand its global reach and capabilities, particularly in the growing Asian market, potentially leading to increased revenue and market share.

Risk Assessment

Risk Level: medium — Acquisitions carry inherent risks, including integration challenges, regulatory hurdles, and potential overpayment, which could impact Fortrea's financial performance.

Key Players & Entities

• Fortrea Holdings Inc. (company) — Acquiring company
• India (location) — Location of acquired company
• Asia-Pacific (location) — Region of expansion
• Q3 2024 (date) — Expected closing quarter

FAQ

Key Financial Figures

• $0.001 — ange on which registered Common Stock, $0.001 par value FTRE The NASDAQ Stock Market
• $295.0 million — purchase price for the Transaction was $295.0 million paid at closing (subject to a customary
• $45.0 million — -closing purchase price adjustment) and $45.0 million to be paid upon achievement of certain

Filing Documents

• ftre-20240603.htm (8-K) — 25KB
• ex991endeavorclosing.htm (EX-99.1) — 14KB
• fortrealogo.gif (GRAPHIC) — 3KB
• 0001965040-24-000041.txt ( ) — 168KB
• ftre-20240603.xsd (EX-101.SCH) — 2KB
• ftre-20240603_lab.xml (EX-101.LAB) — 21KB
• ftre-20240603_pre.xml (EX-101.PRE) — 12KB
• ftre-20240603_htm.xml (XML) — 3KB

01 Regulation FD Disclosure

Item 7.01 Regulation FD Disclosure. On June 3, 2024, Fortrea Holdings Inc. (the "Company") completed its previously announced divestiture of assets relating to its Enabling Services segment, namely its Endpoint Clinical and Fortrea Patient Access businesses, including the sale of equity interests of Fortrea Patient Access Inc. and its subsidiaries and Endpoint Clinical, Inc. and its subsidiaries, to an affiliate of Arsenal Capital Partners (the "Transaction"). The final purchase price for the Transaction was $295.0 million paid at closing (subject to a customary post-closing purchase price adjustment) and $45.0 million to be paid upon achievement of certain transition-related milestones. A copy of the press release announcing the closing is furnished herewith as Exhibit 99.1 to this Current Report on Form 8-K and is incorporated herein by reference. Pursuant to General Instruction B.2 of Current Report on Form 8-K, the information contained in, or incorporated into, Item 7.01, including the press release attached hereto as Exhibit 99.1, is being furnished and shall not be deemed "filed" for the purposes of Section 18 of the Exchange Act, or otherwise subject to the liabilities of that section, nor shall it be deemed incorporated by reference into any registration statement or other filing under the Securities Act, except as shall be expressly set forth by specific reference to such filing.

01 Financial Statements and Exhibits

Item 9.01 Financial Statements and Exhibits (d) Exhibits Exhibit No. Description 99.1 Press Release issued by the Company dated June 4, 2024 announcing completion of the divestiture of the Endpoint Clinical and Patient Access Businesses 104 Cover Page Interactive Data File (embedded within the Inline XBRL document)

SIGNATURES

SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. Fortrea Holdings Inc. By: /s/ JILL McCONNELL Name: Jill McConnell Title: Chief Financial Officer Date: June 4, 2024

View Full Filing

View this 8-K filing on SEC EDGAR