A Medical Device Daily
Gen-Probe (San Diego) reported completing its acquisition of Tepnel Life Sciences, (Manchester, UK/Stamford Connecticut), a rapidly growing molecular diagnostics and pharmaceutical services company for 27.1 pence (40 cents) a share, or nearly £92.8 million ($136.4 million) in total.
Last month, shareholders for Tepnel gave the green light for Gen-Probe to acquire the company (Medical Device Daily, March 17, 2009).
More than 99% of Tepnel shareholders voted in favor of the acquisition, which was first reported on Jan. 30 and is structured as a "scheme of arrangement" under British law.
"We believe this acquisition brings Gen-Probe new growth opportunities in transplant diagnostics, genetic testing and pharmaceutical services, and also accelerates our European expansion strategy," said Carl Hull, Gen-Probe's president/COO. "We are ... pleased to close the transaction and are ready to work with our new employees and customers to enhance their already strong molecular diagnostics and pharmaceutical services businesses."
The transaction became effective following confirmation by the High Court of Justice in England and Wales and the registration of the court documents. In addition, Tepnel's listing on the Alternative Investment Market (AIM) operated by the London Stock Exchange was canceled. The cash consideration will be sent to Tepnel shareholders within 14 days.
As previously disclosed, Gen-Probe is financing the acquisition via a revolving credit facility that bears interest at a floating rate 0.6% above the one-month London Interbank Offered Rate (LIBOR), which was recently 0.5%.
On a non-GAAP basis, Gen-Probe anticipates the transaction will be neutral to the company's 2009 earnings per share (EPS), and accretive to its 2010 EPS. Gen-Probe expects to update its 2009 financial guidance to include the effects of the acquisition in its first-quarter earnings release on April 30.
In other dealmaking activity:
• Misonix (Farmingdale, New York) a developer of minimally invasive ultrasonic technology that in Europe is used for the ablation of tumors and worldwide for other acute health conditions, reported that it has sold its Ultrasonic Laboratory business for $3.5 million in cash to iSonix.
The Ultrasonic Laboratory business manufactures and markets scientific and industrial ultrasonic equipment and recorded about $4.6 million in revenue in Fiscal 2008.
Misonix develops therapeutic ultrasonic devices and laboratory equipment.
• McKesson (Alpharetta, Georgia) reported that it is building on the strength of its enterprise Horizon Clinicals solution with the acquisition of LMS Medical Systems (Montreal, Quebec) intellectual property for obstetrics (OB) surveillance and archival capabilities.
Currently marketed by McKesson as Horizon Perinatal Care, the solution integrates the fetal strip with the mother's electronic health record to enhance patient safety, reduce duplicate charting and leverage information across the enterprise. Horizon Perinatal Care is the first and only OB/perinatal information solution designed to support continuity of care between labor and delivery and other areas in the hospital.
LMS Medical Systems is committed to ensuring a smooth transition of all knowledge regarding the solution to McKesson for development, support and implementations. Customers that have purchased, are implementing or are live on Horizon Perinatal Care will experience full continuity of service and support. They also can confidently use the solution as part of an integrated environment that enables more collaborative and safer care for obstetric patients.