Becton, Dickinson and Company To Acquire TriPath Imaging Inc. For $9.25 Per Share Or About $350 Million
Published: Sep 08, 2006
TriPath Imaging develops, manufactures, markets and sells innovative solutions to improve the clinical management of cancer, including detection, diagnosis, staging and treatment. Since 2001, BD has been collaborating with the company to identify bio-markers for various cancer diagnostics. Researchers worldwide use BD's flow cytometry systems for detection of lymphoma and leukemia, and these systems and related products fit well with TriPath Imaging's diagnostics testing requirements. In addition to its existing cervical cancer screening technology, TriPath Imaging is developing molecular screening tools in the areas of breast, cervical, ovarian and prostate cancers.
"Expanding BD's presence in cancer diagnostics is a key element of our strategy to drive revenue growth through innovation," stated Edward J. Ludwig, Chairman, President and Chief Executive Officer of BD. "Cancer remains one of the highest causes of death in the world. We believe that this acquisition positions BD to have significant impact in the marketplace and to advance treatments through more accurate and timely diagnosis, in line with our purpose of helping all people live healthy lives."
The combination of BD's and TriPath Imaging's biomarkers, sample acquisition/processing, reagent systems and instrumentation technologies will provide BD with the technological foundation for innovative oncology management in cancer centers, hospitals and laboratories worldwide. These oncology management products are intended to span cancer screening, diagnosis, prognosis and therapy monitoring.
"We see two business opportunities arising from this acquisition. First, to continue driving TriPath Imaging's cervical cancer screening business, and second, to align their innovative new technologies with BD's existing business strategies," said Vincent A. Forlenza, BD Executive Vice President. "This acquisition is a natural complement to ongoing bio-marker research programs within BD, with the potential to leverage BD instrumentation."
As previously stated in BD's August 14, 2006 press release relating to its submission of a proposal to acquire TriPath, the acquisition is expected to be minimally dilutive to BD's fiscal 2007 earnings (excluding an anticipated charge for in-process research and development). BD will provide guidance for fiscal 2007 during its fiscal fourth quarter earnings call on November 2, 2006.
BD senior management will address this announcement at two upcoming investor healthcare conferences. Remarks will be webcast live and can be accessed from the BD corporate website at http://www.bd.com/investors and will be available for replay for one week from the date of the presentation. Vincent A. Forlenza, Executive Vice President, will present at the Thomas Weisel Partners Healthcare Conference 2006 today at 9:45 a.m. (ET). Edward J. Ludwig, Chairman, President and Chief Executive Officer, will present at the Bear Stearns 19th Annual Healthcare Conference on Tuesday, September 12, 2006 at 2:00 p.m. (ET).
BD, a leading global medical technology company that manufactures and sells medical devices, instrument systems and reagents, is dedicated to improving people's health throughout the world. BD is focused on improving drug therapy, enhancing the quality and speed of diagnosing infectious diseases, and advancing research and discovery of new drugs and vaccines. The Company's capabilities are instrumental in combating many of the world's most pressing diseases. Founded in 1897 and headquartered in Franklin Lakes, New Jersey, BD employs more than 25,000 people in approximately 50 countries throughout the world. The Company serves healthcare institutions, life science researchers, clinical laboratories, industry and the general public. For more information, please visit http://www.bd.com.
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Source: BD (Becton, Dickinson and Company)