Temasek and GIC will acquire a significant stake in Novotech, whose ebitda has grown fivefold since TPG’s initial investment in 2017.

Temasek Holdings and GIC will acquire a significant stake in Novotech to fuel growth and accelerate acquisitions for the clinical research and testing provider, valuing the company at more than A$3 billion ($2.53 billion), people familiar with the matter said.

Existing backer TPG will also reinvest through its Asia VIII US$5.3 billion fund, Novotech said in a statement, confirming an earlier Bloomberg News report. The company’s earnings before interest, depreciation and amortization has grown fivefold since TPG’s initial investment in 2017, the people said, asking not to be identified because the matter is confidential.

The deal will help TPG make a full exit from its previous investment in 2017 in Asia VI. Novotech in 2021 suspended its Hong Kong public share sale due to Covid-related market volatility and investor uncertainty.

“This investment will ensure we can continue our record of winning a growing share of larger, multi-region trials, particularly ones with a center of gravity in Asia, and it will also enable us to pursue larger, transformation acquisitions as our industry inevitably consolidates,” Chief Executive Officer John Moller said in a statement.

TPG would remain controlling shareholder of the company after the deal. Spokespeople at TPG, Temasek and GIC declined to comment on the financial details of the transaction.

Since TPG’s investment in 2017, the firm has raised its headcount tenfold to 3,000 employees and expanded its operations globally, establishing a presence in Europe and North America in addition to its original focus on Australia, New Zealand, and parts of Asia.