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Canadian law firm McCarthy Tétrault LLP is guiding New Jersey-based Quest Diagnostics on a newly inked deal to buy LifeLabs from the Ontario Municipal Employees Retirement System, or OMERS, for about $985 million, Quest said Wednesday.

Blake Cassels & Graydon LLP is the legal adviser to OMERS, the Canadian public pension fund headquartered in Toronto.

Quest Diagnostics to buy LifeLabs for $985m : Deal Details

LifeLabs, a top provider of specialty laboratory testing services in Canada, will retain its brand, Canadian headquarters, and management after the transaction closes, Quest Diagnostics to buy LifeLabs for $985m. Quest said in a statement that it will provide LifeLabs with "new expertise, innovations and resources," helping to do things like improve online appointment scheduling, expedite patient processing, and bolster data security.

"This transaction is predicated on our strong belief that we can help LifeLabs accelerate growth and improve healthcare," said Jim Davis, chair and CEO of Quest, in a statement. "We are committed to working with the LifeLabs team to ensure service continuity and enhance access and innovation to meet the needs of Canada's growing and aging population."

Strategic Partnership

The two companies have an established relationship, including through a Quest-led initiative that brings together 12 of the leading diagnostic testing labs globally to broaden testing access and share expertise.

"Quest is the right partner to build on the strengths of LifeLabs and align with our strategic path, which focuses on enhancing the accessibility and quality of services that we provide to millions of Canadians," said Charles Brown, CEO of LifeLabs, in a statement.

OMERS had purchased LifeLabs in 2007. Michael Hill, OMERS' global head of infrastructure, said Quest Diagnostics to buy LifeLabs for $985m and is "uniquely equipped to expand the service offering at LifeLabs, bringing new innovations to this market while extending access for patients in Canada."

Additional counsel information for the deal was not immediately available.