UK private life science tools company LGC (B3/B/B+) recently reported its annual earnings, underscoring the difficulties in adjusting to a post-Covid world without the tailwind of extra high-margin pandemic testing. The Astorg and Cinven-owned business has no near term maturities, with its loans maturing in 2027. But it will have to contend with a sharp rise in interest costs next year, as interest rate caps struck in 2021 roll off and expose it to current base rate levels.

LGC reported an adjusted LTM EBITDA of £274m on a reported FX basis, down 8% YoY, mostly due to a decrease in Covid cases and testing. This level gives 6x total and 5.5x total net leverage, according to buyside sources.