Shares of scientific toolmaker Millipore shot up 23 percent on February 22 as investors speculated about a possible $6 billion takeover of the company by Thermo Fisher Scientific. The combination would create a lab supply giant and satisfy Thermo's desire to enlarge its footprint in the life sciences market.

 

Both companies have been largely mum regarding a potential tie-up. But Waltham, Massachusetts-based Millipore finally allowed that it had retained Goldman Sachs to explore a possible merger or sale of the company.

 

Despite official refusals to comment on the deal, sources familiar with the talks have told Bloomberg news that Thermo is so eager to acquire Millipore that it has raised its offer for the company. A deal between the two could close as early as next week, the sources say.

 

Millipore's board did not set a timeframe for wrapping up its considerations and says it doesn't plan to say more until it has approved a specific transaction.

 

Thermo, based in Billerica, Massachusetts, went on a $650 million spending spree during fiscal 2009, acquiring seven companies, including BioAnaLab, a U.K. company specializing in the analysis of biologic drugs and vaccines. That trend has continued in 2010, with Fisher picking up handheld spectroscope-maker Ahura Scientific and Finnzymes, a Finnish provider of high performance PCR solutions.

 

“When you look at our acquisition strategy, the larger things we do are going to be centered towards our analytical technology segment. We see great prospects across specialty diagnostics, analytical instruments, and biosciences," Thermo's CEO Mark Casper told investors on the company's fourth quarter earnings call.

 

For now, Millipore says its board is evaluating it options, including the potential pursuit of competing bids. Danaher, Life Technologies and General Electric make up the short list of potential bidders that have surfaced in coverage of the scrum, though analysts have discounted GE's interest.