UL Solutions Inc. to Acquire Electrical & Electronics Business of Eurofins Scientific SE in Strategic Expansion
In a significant move to strengthen its position in the global testing, inspection, and certification (TIC) industry, UL Solutions Inc. has announced a definitive agreement to acquire the electrical and electronics (E&E) business of Eurofins Scientific SE. The transaction, which includes the well-established MET Labs certification mark, represents a major step in UL Solutions’ strategy to expand its global footprint and enhance its capabilities in electrical safety and connected product certification.
Valued at approximately €575 million (around $670 million), the acquisition reflects UL Solutions’ commitment to scaling its operations in response to evolving market demands, particularly as industries increasingly rely on connected technologies and require robust compliance frameworks.
Strengthening Leadership in the TIC Industry
The TIC sector plays a critical role in ensuring that products meet safety, regulatory, and performance standards across global markets. As digital transformation accelerates and products become more interconnected, the complexity of compliance requirements continues to grow.
UL Solutions has long been a leader in applied safety science, offering a wide range of services that help organizations navigate these challenges. By acquiring Eurofins’ E&E business, the company is positioning itself to further strengthen its leadership in this المجال.
The addition of Eurofins’ capabilities will enhance UL Solutions’ ability to provide comprehensive testing and certification services for electrical and electronic products. This includes areas such as electromagnetic compatibility (EMC), wireless testing, electrical safety, and certification for medical devices and other advanced technologies.
Jennifer Scanlon, President and CEO of UL Solutions, emphasized that the transaction aligns with the company’s long-term growth strategy. She highlighted the importance of technical expertise, global accreditations, and a diverse service portfolio in differentiating UL Solutions within the industry.
Expanding Global Reach and Capabilities
One of the key objectives of the acquisition is to expand UL Solutions’ geographic presence, particularly in Europe, the Middle East, and Africa (EMEA), as well as the Asia-Pacific region. These markets are experiencing rapid growth in demand for testing and certification services, driven by increased manufacturing activity and stricter regulatory requirements.
By integrating Eurofins’ E&E operations, UL Solutions will gain access to a broader network of laboratories, technical experts, and customer relationships. This expanded infrastructure will enable the company to better serve multinational clients and support their global market access needs.
The acquisition also strengthens UL Solutions’ position in the consumer segment, where demand for certified electrical and electronic products is growing rapidly. As consumers adopt smart devices, IoT-enabled products, and advanced electronics, manufacturers must ensure that their products meet stringent safety and performance standards.
Financial Overview and Strategic Rationale
The purchase price of €575 million reflects an enterprise value multiple of approximately 14.5 times the estimated 2026 EBITDA of the E&E business. This valuation includes anticipated cost synergies that are expected to be realized within three years of closing.
The E&E business is projected to generate around $200 million in revenue in 2026, highlighting its significance as a revenue-generating asset. The transaction is also expected to be accretive to UL Solutions’ adjusted diluted earnings per share in the first full year following completion, excluding integration-related costs and intangible amortization.
From a financial perspective, the acquisition is structured to maintain UL Solutions’ strong balance sheet. The company plans to fund the transaction through a combination of existing cash reserves and its revolving credit facility. Notably, approximately 30 percent of the purchase price will be financed באמצעות proceeds from the sale of its Employee Health and Safety software business, which was completed earlier in April 2026.
This approach reflects UL Solutions’ disciplined capital allocation strategy, focusing on investments that align with its core competencies while divesting non-core assets.
Enhancing Services for Connected and Digital Products
The acquisition comes at a time when the nature of products is undergoing a fundamental transformation. The rise of connected devices, smart technologies, and digital ecosystems has created new challenges in terms of safety, interoperability, and regulatory compliance.
Eurofins’ E&E business brings specialized expertise in areas such as wireless testing and electromagnetic compatibility, which are critical for ensuring that connected devices function reliably without causing interference. These capabilities complement UL Solutions’ existing offerings and enable the company to provide end-to-end solutions for modern product ecosystems.
In addition, the inclusion of the MET Labs certification mark adds further credibility and recognition to UL Solutions’ portfolio. Certification marks play a crucial role in building trust with consumers and regulators, signaling that products meet established standards.
Supporting Global Product Compliance
As companies expand into international markets, navigating diverse regulatory environments becomes increasingly complex. Testing and certification services are essential for ensuring that products comply with local standards and can be sold globally.
The combined capabilities of UL Solutions and Eurofins’ E&E business will provide customers with a more comprehensive solution for global market access. This includes support for compliance with regional regulations, as well as testing and certification services tailored to specific industries.
By streamlining these processes, the acquisition will help customers reduce time-to-market and minimize the risk of regulatory delays. This is particularly important in fast-moving industries where speed and agility are critical competitive factors.
Aligning with Long-Term Growth Trends
The transaction is closely aligned with several key megatrends shaping the TIC industry. These include the increasing digitization of products, the growth of the Internet of Things (IoT), and the rising importance of sustainability and compliance.
As products become more complex and interconnected, the need for comprehensive testing and certification services is expected to grow. UL Solutions is positioning itself to capitalize on these trends by expanding its capabilities and investing in advanced technologies.
The company’s focus on connected products is particularly noteworthy, as this segment is expected to experience significant growth in the coming years. By enhancing its expertise in this area, UL Solutions aims to capture a larger share of the market and deliver greater value to its customers.
The acquisition is expected to close in the fourth quarter of 2026, subject to customary closing conditions, including regulatory approvals. Until the transaction is completed, UL Solutions will continue to operate independently, and the acquisition is not expected to impact the company’s financial outlook for the current year.
Specifically, the company has indicated that the transaction will not affect its 2026 full-year projections for organic revenue growth or adjusted EBITDA margin. This reflects the timing of the deal and the expectation that integration activities will primarily occur after the closing.
Following the completion of the acquisition, UL Solutions will focus on integrating the E&E business into its existing operations. This process will involve aligning systems, processes, and teams to ensure a seamless transition and maximize the value of the combined organization.
The integration is expected to unlock synergies in areas such as cost efficiency, service delivery, and market reach. By leveraging its global infrastructure and expertise, UL Solutions aims to enhance its ability to serve customers and drive long-term growth.
The addition of skilled professionals from Eurofins’ E&E business will also strengthen UL Solutions’ talent base, further supporting its innovation and service capabilities.
The acquisition of the electrical and electronics business of Eurofins Scientific SE marks a significant milestone for UL Solutions Inc.. By expanding its global footprint and enhancing its capabilities in key areas such as electrical safety, wireless testing, and product certification, the company is well-positioned to address the evolving needs of its customers.
As the TIC industry continues to evolve in response to technological advancements and regulatory changes, strategic investments like this will play a crucial role in shaping the competitive landscape. Through this acquisition, UL Solutions is not only strengthening its current offerings but also laying the foundation for future growth in an increasingly connected world.
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