Novo Holdings has acquired diagnostic products and services supplier, BBI Group, from Exponent for an enterprise value of more than $564m (£400m).

Established in 1986, BBI supplies a variety of products to diagnostics and life sciences industries globally. In 2015, Exponent acquired the UK-based company as a corporate carve-out from Alere, currently called Abbott.

BBI offers vital reagents and immunoassay development, lateral flow development, diagnostic production services and smartphone reader technologies to multiple customers, including Thermo-Fisher, Merck and Siemens.

The company’s BBI Solutions brand includes antibodies, antigens, labels, complementary reagents, point of care tests and other products.

It has an employee base of more than 400 people across sites in seven countries and four continents.

BBI Group CEO Mario Gualano said: “We are hugely grateful to Exponent for the support we have received over the last five years.

“We now have a fully invested and scalable platform to deliver future growth in a large and fast-growing market.”

BBI has bolstered its management team, extended its US presence and set up operations in China over the past five years.

It also acquired Novarum DX, Maine Biotechnology Services and Diarect to boost its product portfolio, as well as funded a production site in Wales.

Between 2017 and 2020, these developments delivered substantial revenue growth and an EBITDA CAGR of 22%, the company noted.

Novo Holdings noted that its investment in BBI is in line with its Principal Investments strategy, which focuses on life science firms in select market areas and with robust underlying growth drivers.

Novo Holdings senior partner Johan Hueffer said: “We see tremendous opportunities for both organic and inorganic growth for the company.

“Novo Holdings is looking forward to contributing its considerable industry expertise and extensive network in supporting the talented team at BBI.”

Lazard acted as financial advisor to Novo Holdings while Kromann Reumert, Latham & Watkins and Linklaters were the legal advisors.