GEN Exclusives

More »

GEN News Highlights

More »
Jun 18, 2013

Techne Buys Bionostics for $104M

  • Techne said today it will acquire Bionostics and its holding company for $104 million cash, in a deal allowing the maker of biotechnology products and hematology controls to expand its offerings to calibrators and quality control products for critical care, point-of-care, and diabetes diagnostics test systems.

    Controls for blood glucose and blood gas devices are the largest portion of Bionostics' business, though the company recently launched coagulation device control products, and is developing controls for other growing diagnostic uses, particularly cholesterol and HbA1c point-of-care testing (POCT) devices.

    Bionostics will be folded by Techne into its hematology division, with the combined operation rechristened the new Clinical Controls Division of Research and Diagnostic Systems (R&D Systems), one of two Techne operating subsidiaries; the other is R&D Systems Europe.

    Bionostics said it expects to grow going forward by capitalizing on increasing prevalence of diabetes and other diseases; the migration of diagnostic testing from lab to points of care that include the operating room, bedside, clinic, and home; the implementation of controls regulations in global markets; and new controls being required for emerging diagnostic and POCT products.

    “The addition of Bionostics adds capabilities in exciting new areas like coagulation and expands our controls portfolio, giving us the critical mass we need to remain competitive and offer our customers continued value and options to serve their needs,” Charles R. Kummeth, Techne’s president and CEO, said in a statement.

    The acquisition is set to close during the first quarter of 2014, according to Techne, subject to early termination of the Hart-Scott-Rodino waiting period, and customary closing conditions. The purchase price is subject to adjustment following closing based on the final level of working capital of Bionostics.

    Techne said it expects the Bionostics acquisition to be slightly accretive to net earnings for its fiscal year ending June 30, 2014, despite acquisition-related accounting expenses related to the step-up in basis for acquired inventories and amortization of intangibles.

    Privately held Bionostics generated earnings before interest, taxes, depreciation, and amortization (EBITDA) of about $9.4 million, on revenue of about $29.3 million during its most recent fiscal year, ending August 31. During its most recent quarter ending March 31, publicly traded Techne saw its net income rise 4% from the year-ago quarter to $33.1 million, on net sales of about $81 million.


Add a comment

  • You must be signed in to perform this action.
    Click here to Login or Register for free.
    You will be taken back to your selected item after Login/Registration.

Related content

Jobs

GEN Jobs powered by HireLifeScience.com connects you directly to employers in pharma, biotech, and the life sciences. View 40 to 50 fresh job postings daily or search for employment opportunities including those in R&D, clinical research, QA/QC, biomanufacturing, and regulatory affairs.
 Searching...

Unable to get Jobs Listings.

More »

GEN Poll

More » Poll Results »

Lab-Grown Vaginas

Which body part do you think will be successfully engineered in the lab next?