By Andrea Figueras

Synlab said Tuesday that it has sold its Swiss operations to Australian peer Sonic Healthcare, which said it is paying 150 million Swiss francs ($167.5 million) for the business.

Munich-based Synlab, a provider of laboratory-diagnostic services, said the deal will be positive for its adjusted earnings margin and allow it to reduce its adjusted net debt. The sale received the required approvals of antitrust authorities, Synlab said.

Sonic separately said it expects the deal will be accretive to earnings per share from next year.

For the second half of 2023, Synlab had expected revenue around 50 million euros ($54.5 million) from its operations in Switzerland. Despite the transaction, which is expected to be closed by July 3, Synlab's revenue guidance for the current year remains the same at around EUR2.7 billion.

Write to Andrea Figueras at andrea.figueras@wsj.com

(END) Dow Jones Newswires

June 27, 2023 04:36 ET (08:36 GMT)

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