Matritech Signs Deal to be Acquired by Inverness
Inverness Medical Innovations announced their plans to wholly acquire Matritech, the deal was described in a press release on the Matritech site. Inverness will invest $36 million in stock shares to complete the deal. An additional $2 million will be delivered to Matritech, of either Inverness common stock or cash, if certain revenue targets are achieved.
Matritech primarily develops and manufactures proteomics-based products designed for the early detection of malignancy. The organization’s most successful product is the NMP22 BladderChek Test. This FDA approved test is used as an aid to both diagnose and monitor bladder cancer. Other tests from the company are products to evaluate for the presence of colon, breast, cervical, and prostate cancers.
Inverness plans to integrate the Matritech line of products into their existing tools for point-of-care testing. Additional opportunities to expand the business will consider the recent acquisitions completed by Inverness. The organization announced plans to acquire San Francisco based Cholestech in June.
The most publicized acquisition involving Inverness, of late, was the purchase of Biosite. Inverness briefly engaged in a bidding war, described on Hospital Buyer, with Beckman Coulter over the purchase and finally won out with a $1.68 billion offer. The primary business focus of the two, Inverness and Biosite, is point-of-care testing. The acquisition offered Inverness the opportunity to increase their market share of that business.
These acquisitions have allowed Inverness to grow their business dedicated to diagnostic testing products. The majority of the business is with healthcare organizations, including providers and laboratories. They also have a line of products that are marketed directly to healthcare consumers. The June acquisition of Quality Assured Services, which primarily develops self-testing products broadened this segment of the Inverness portfolio.
September 7, 2007 Related topics: Mergers & Acquisitions, Corporate Financials