WALTHAM, Mass., Sept. 19 /PRNewswire-FirstCall/ -- Inverness Medical Innovations, Inc. , a leading manufacturer and marketer of consumer and professional medical diagnostic products and developer of advanced medical devices, announced today that it has entered into a stock purchase agreement with Thermo Electron Corporation to acquire Thermo BioStar, Inc., located in Louisville, Colorado. BioStar is a leader in the development, manufacture and commercialization of high-performance, rapid diagnostic tests, including tests for the detection of infectious diseases. Under the terms of the stock purchase agreement, Inverness will acquire all of the stock of BioStar for $52,500,000 in cash at the closing of the acquisition. The closing of the acquisition is subject to Inverness obtaining the consent of its lenders, and to other ordinary and customary closing conditions. The acquisition is expected to close on or about September 30, 2005.
Ron Zwanziger, CEO of Inverness, commenting on the acquisition, said, "In addition to bringing us a complementary and proprietary line of high- sensitivity point of care rapid tests, we are acquiring one of the industry's leading direct sales teams of approximately 55 full time equivalent sales people with a long history of demonstrated success. This direct access to physician offices as well as to hospitals and laboratories will be especially beneficial when it comes time to educate the point of care marketplace on the cardiac products we have under development, such as the prothrombin test due out in the US marketplace in 2006. We also anticipate that it may boost sales of our existing products." BioStar had 2004 revenues of approximately $29.7 million and first half 2005 revenues of approximately $18.5 million, and has been operating profitably.
For more information about Inverness Medical Innovations, please visit its website at http://www.invernessmedical.com.
Inverness Medical Innovations is a leading global developer of advanced diagnostic devices and is presently exploring new opportunities for its proprietary electrochemical and other technologies in a variety of professional diagnostic and consumer-oriented applications including immuno- diagnostics with a focus on women's health, cardiology and infectious disease. The Company's new product development efforts, as well as its position as a leading supplier of consumer pregnancy and fertility/ovulation tests and rapid point-of-care diagnostics, are supported by the strength of its intellectual property portfolio. Inverness is headquartered in Waltham, Massachusetts.
This press release contains forward-looking statements within the meaning of the federal securities laws. Actual results may differ materially due to numerous factors, including without limitation, the risk that the acquisition of BioStar will not be completed; Inverness' success in integrating the operations and products of acquired companies into its existing operations; other risks generally associated with such transactions; the risk that demand for BioStar's products, including its flu products, will not be as strong as anticipated; and the risks and uncertainties described in the Inverness' periodic reports filed with the Securities and Exchange Commission under the federal securities laws, including Inverness' Quarterly Report on Form 10-Q for the quarter ended June 30, 2005, as amended. Inverness undertakes no obligation to update any forward-looking statements.
Contact: Doug Guarino, Director of Corporate Relations 781 647 3900
Inverness Medical Innovations, Inc.