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Quest Diagnostics Sells Ownership Interest in Q² Solutions to IQVIA

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Quest Diagnostics (NYSE: DGX) has announced the sale of its minority share in Q2 Solutions to IQVIA (NYSE: IQV) for $760 million in cash. This divestiture aligns with Quest's strategy to focus on diagnostic information services. Since 2015, Q2 Solutions operated as a joint venture, with IQVIA owning 60% and Quest 40%. Despite the sale, Quest will remain the preferred laboratory provider for Q2 Solutions under a multi-year agreement, allowing them to continue offering complementary lab testing services.

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  • Quest Diagnostics receives $760 million in cash from the sale.
  • Continues partnership with IQVIA as a preferred lab provider.
Negative
  • None.

SECAUCUS, N.J. and RESEARCH TRIANGLE PARK, N.C., April 1, 2021 /PRNewswire/ -- Quest Diagnostics (NYSE: DGX), the world's leading provider of diagnostic information services, today announced the sale of its minority share in Q2 Solutions to IQVIA (NYSE: IQV), a leading global provider of advanced analytics, technology solutions, and clinical research services to the life sciences industry, for $760 million in an all-cash transaction.

Q2 Solutions is a leading global clinical laboratory services organization that provides comprehensive testing, project management, supply chain, biorepository, biospecimen and consent tracking solutions for clinical trials. IQVIA and Quest established Q2 Solutions as a joint venture in 2015. IQVIA previously owned a 60 percent majority share and Quest Diagnostics owned a 40 percent minority share.

"Divesting from Q2 Solutions supports our vision to be focused on empowering better health with diagnostic information services," said Steve Rusckowski, Quest Diagnostics Chairman, CEO and President. "We are proud of our contributions to the growth of Q2 Solutions, and are confident that IQVIA has the strategic vision and agility to lead Q2 Solutions on the next phase of its journey as a global leader in central lab services."

Under a multi-year agreement, Quest will remain the strategic preferred laboratory provider for Q2 Solutions' clients, providing a range of complementary lab testing capabilities to augment Q2 Solutions' core offerings and extend its industry leading suite of services.

About Quest Diagnostics

Quest Diagnostics empowers people to take action to improve health outcomes. Derived from the world's largest database of clinical lab results, our diagnostic insights reveal new avenues to identify and treat disease, inspire healthy behaviors and improve health care management. Quest annually serves one in three adult Americans and half the physicians and hospitals in the United States, and our approximately 50,000 employees understand that, in the right hands and with the right context, our diagnostic insights can inspire actions that transform lives. www.QuestDiagnostics.com.

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SOURCE Quest Diagnostics

FAQ

What was Quest Diagnostics' sale to IQVIA?

Quest Diagnostics sold its minority share in Q2 Solutions to IQVIA for $760 million.

What is the significance of the $760 million sale for Quest Diagnostics?

The sale is aimed at refocusing Quest Diagnostics on its core diagnostic information services.

What will happen to Q<sup>2</sup> Solutions after the sale?

IQVIA will lead Q2 Solutions, while Quest remains its preferred laboratory provider.

When did Quest Diagnostics and IQVIA establish Q<sup>2</sup> Solutions?

Q2 Solutions was established as a joint venture in 2015.

What is the ownership history of Q<sup>2</sup> Solutions?

Prior to the sale, IQVIA owned 60% and Quest Diagnostics owned 40% of Q2 Solutions.

Quest Diagnostics Inc.

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