EcoScience announced Thursday that it has acquired AgroDynamics Corp. of New Brunswick, N.J., for $2.1 million.
The transaction involved a combination of cash and EcoSciencestock, and under the terms of the deal, additional paymentswill be made to Agro for reaching certain milestones.
"Agro has had a long-term interest in biologicals, which is ourmain line of product," said Jeanie Faulkner, EcoScience's chieffinancial officer. She added that EcoScience had long planned tomove into the horticulture business.
From an R&D standpoint, Faulkner told BioWorld, of mostinterest to EcoScience (NASDAQ:ECSC) of Worcester, Mass., isAgro's rockwool growing media, a natural mineral product spunfrom melted rock that promotes more rapid plantestablishment, improved root distribution and superior plantpropagation.
"We're looking at rockwool as a delivery vehicle for biologicialfungicide," said Faulkner.
Since EcoScience doesn't have any income-earning products, theacquisition will give the company a wholly owned, profitableentity to add to their revenue base, as well as an establishedsales and marketing team to launch its first biological pesticide,the Bio-Path Cockroach Control Chamber, awaiting approvalfrom the Environmental Protection Agency, "said MartinVogelbaum, spokesman for the
-- Michelle Slade Associate Editor
(c) 1997 American Health Consultants. All rights reserved.