Labcorp In Talks To Merge Some Covance Assets With Syneos: Bloomberg

by Vandana Singh, Benzinga Editor

November 12, 2021 9:27 AM | 1 min read | Make a Comment

Laboratory Corp of America Holdings LH is in talks to combine some of its assets with Syneos Health Inc SYNH, reports Bloomberg citing people with knowledge of the matter.
The companies are discussing a deal in which part of LabCorp's Covance clinical research division would merge with Syneos.
The sources said that the companies are discussing structuring the deal as a so-called Reverse Morris Trust, which provides tax benefits by spinning off an asset before it's combined.
Bloomberg also reported that Syneos's management would run the merged company, although its leadership would include executives from Covance, which has changed its name to Labcorp Drug Development.
Price Action: LH shares are up 3.23% at $296.15, SYNH shares are down 0.01% at $102.59 during the premarket session on the last check Friday.