<p>WALTHAM, Mass. — Thermo Fisher is buying clinical research company PPD in a deal valued at $17.4 billion.</p>
<p>Activity in healthcare testing has surged during the global pandemic, and Thermo Fisher expanded its exposure to that sector rapidly with the deal announced Thursday. </p>
<p>Shares of the Waltham, Massachusetts, company rose almost 4% before the opening bell. </p>
<p>PPD, based in Wilmington, N.C., is a contract-research company, which tests experimental drugs being pursued by pharmaceutical companies. The company provides services to emerging biotech firms as well as global pharmaceutical companies. It booked revenue of $4.7 billion last year. </p>
<p>Thermo Fisher makes scientific research and testing equipment, It said this week that U.S. regulators granted emergency use authorization for a new automated system for processing COVID-19 tests.</p>
<p>Thermo Fisher Scientific Inc. will pay $47.50 per PPD share. The transaction also includes approximately $3.5 billion in debt.</p>
<p>PPD will be folded into Thermo Fisher’s laboratory products and services unit.</p>
<p>Shares of PPD, based in Wilmington, North Carolina, rose nearly 7% before the market opened. </p>
<p>The deal is expected to close by the end of the year. </p>
