It’s Friday eve, Health Tech enthusiasts. Let’s get to it.

Situational awareness: McKesson and HCA Healthcare are creating a cancer research joint venture. To power the oncology data and analytics portion, McKesson says it’s buying Genospace from SCRI.

Illustration: Eniola Odetunde/Axios

Levine Leichtman Capital Partners has scooped up Technical Safety Services, a Berkley, Calif.-based company ensuring regulatory compliance and productivity across lab environments.

Behind the scenes: Financial terms weren’t disclosed. But a source told Sarah in May that a 25x multiple of EBITDA was required to advance into the sale process’s second round, which would work out north of $800 million.

  • Houlihan Lokey and Harris Williams advised the sellers on what sources called a fast-moving process.

Flashback: Edgewater Funds and JZ Partners acquired TSS in March 2018, fueling an aggressive consolidation play with more than 20 add-on acquisitions.

How it works: TSS tests, certifies and calibrates critical equipment and controlled environments in the life sciences and health care markets.

  • On-site technical services are provided at regular intervals.

State of play: The biotech funding boom of the last several years (which has more recently slowed) led to many more labs being built. Thus more demand for TSS.

  • LLCP partner Matthew Rich commented in a news release that it would build on TSS’ successful growth via “additional strategic M&A and broadening of the company’s services across new geographies, both domestically and internationally.”

Source: https://www.axios.com/pro/health-tech-deals/newsletters/2022/06/23/health-tech-raising-to-lose