IMS Health Holdings Inc. (NYSE: IMS) will merge with Quintiles Transnational Holdings Inc. (NYSE: Q) in an all-stock transaction with an equity value of about $9 billion, bringing together two of the biggest providers of data about the pharmaceutical industry. For more on M&A in the sector, see Health Care Data Providers Are Becoming Attractive Targets, Thanks to the Affordable Care Act.
IMS Health shareholders will receive 0.384 Quintiles common stock for each share of IMS. The combined business will have an enterprise value of more than $23 billion, the companies said, and IMS Health shareholders will own about 51.4 percent of the shares of the combined business, according to a statement Tuesday. The equity value is based on IMS’s 336 million shares outstanding.