The Carlyle Group has agreed to buy Johnson & Johnson's Ortho-Clinical Diagnostics (OCD) business for $4.15bn.
The transaction is subject to customary regulatory approvals and is slated to close in the middle of 2014.
With this acquisition, Carlyle plans to tap into emerging and established markets and make accelerated investments in research and product development.
Provider of solutions for screening, diagnosing, monitoring and confirming diseases, OCD, is headquartered in Raritan, New Jersey, with manufacturing operations in Rochester, New York, Pompano Beach, Florida and Pencoed, Wales.
It operates in 130 countries and serves clinical laboratories and the transfusion medicine community globally.
The Carlyle Group managing director Stephen H Wise said: "We have been focused on the diagnostics industry for many years given its attractive growth prospects, driven by the crucial role it plays in health care decision-making and influencing patient outcomes."
Carlyle will pay for the transaction with equity from its $13bn US Buyout fund, Carlye Partners VI, which completed fundraising in November 2013 with 269 investors from 43 countries.
Ortho-Clinical Diagnostics worldwide president Eric Compton said: "In combination with Carlyle's global reach and deep experience in the healthcare sector, OCD will have the opportunity to invest in new, innovative products and services for its customers and provide an environment for its professionals to excel in a competitive global marketplace."
Carlyle has invested $6.3bn of equity in healthcare transactions around the globe to date, while current and former investments include Pharmaceutical Product Development (PPD), Grupo Qualicorp, Healthscope Limited, HCR ManorCare and MultiPlan.
Barclays and Goldman Sachs are acting as financial advisors to The Carlyle Group, which has secured committed debt financing from Barclays, Goldman Sachs, Credit Suisse, UBS and Nomura. Latham & Watkins LLP is acting as legal advisor to The Carlyle Group.
Image: Johnson & Johnson headquarters in New Brunswick, New Jersey. Photo: courtesy of Ekem.