Swindon-based corporate finance specialists Watersheds have successfully brokered a major acquisition deal in the criminal justice forensic sector, reinforcing the industry’s stability and capabilities. The deal saw the sale of Orchid Cellmark Limited (Cellmark Forensic Services) to the Eurofins Scientific Group (Eurofins), representing the culmination of a partnership built over years of strategic collaboration.
Watersheds previously advised Cellmark during its acquisition of Pinmoore Animal Laboratory Services Ltd (PALS) in 2022, underscoring their longstanding commitment to supporting the forensic analysis firm. Cellmark, a key supplier of forensic services to the police, also stands as the UK’s leading DNA paternity testing laboratory. Its broad scope of services includes crime scene forensic analysis, case reviews for the defence, and DNA relationship testing, as well as drug and alcohol testing for various government departments and private clients.
Given that Cellmark and Eurofins Forensic Services Ltd, part of the Eurofins Scientific Group, both hold substantial market share within the UK forensic testing market, the acquisition required clearance from the Competition and Markets Authority (CMA). The move, now approved, is expected to offer numerous synergistic benefits and growth opportunities for both firms, bolstering the forensic science sector and promoting further stability in the criminal justice system.
John Stopher, Partner at Watersheds’ Swindon office, remarked on the intricacies of the transaction: “Securing CMA clearance for a deal of this scale is a rare occurrence and presented a unique challenge. Nevertheless, we are delighted to have facilitated an outcome that met the interests of both buyer and seller, while also enhancing the resilience of the forensic sector and its contributions to criminal justice. It was vital to ensure the shareholders felt fully supported through this process, as we navigated both the acquisition of PALS and now the sale of Cellmark.”
David Hartshorne, former Managing Director and shareholder of Cellmark, praised Watersheds’ expertise and personalised service: “Having Watersheds by our side made all the difference. Their deep experience and insightful advice were invaluable through both our acquisition and the subsequent sale. Their personal touch and proactive approach gave us tremendous confidence throughout the process.”
Legal support for the transaction was provided by RWK Goodman.
