WYNNEWOOD, Pa.--(BUSINESS WIRE)-- CD Diagnostics, Inc. completed the purchase of 80% of the outstanding capital stock of Citrano Medical Laboratories, Inc. (CML or Citrano) located in Towson, Maryland. CML is a CLIA-certified, 39-year old business that provides comprehensive clinical laboratory testing to physicians, clinics and long term care facilities. CML’s mission is to provide the physician with accurate and reliable test results in a timely manner and with a personal component that is not available with the large national companies. CML’s competitive advantage versus larger laboratories is its ability to provide same-day results 6 days per week to its clients. Citrano’s strong commitment to customer service is a key benefit to its clients. Some of the clients that Citrano serves have been with Citrano since its inception.
The combination of Citrano with CD Diagnostics creates an entity with both a strong R&D team that can develop Laboratory Developed Tests (LDTs), and a CLIA-certified diagnostics laboratory dedicated to customer service in which these tests can be run. The first test, an immunoassay to diagnose infection in joint replacements, is expected to be released in November 2012. CD Diagnostics’ new synovial fluid assays will enhance Citrano’s portfolio of testing services, which currently include hematology, urinalysis, and a broad range of other services.
“We’re excited to be a part of CD Diagnostics and believe this to be a mutually beneficial arrangement,” said Michael Citrano, President of Citrano. “CD Diagnostics has an impressive management team and solid technology.”
“Mike and Randy Citrano and their professional staff are a great addition to the CD Diagnostics team,” says Anne Cavanaugh, Vice President of Corporate Development for CD Diagnostics. “CML is a well-run, 39-year old family business with a strong commitment to customer service. Some of their accounts have been with them since inception. It is this type of service and commitment that we were looking for to service our new line of products.”
The acquisition of Citrano is one of many milestones achieved by CD Diagnostics since its incorporation in December 2011. In June 2012, the company signed a commercialization agreement with a major orthopaedic company for the development of its infection test, receiving $2.9 million in milestone payments. CD Diagnostics has also completed a Series A preferred stock financing, raising over $5 million in capital.
Richard Birkmeyer, CEO of CD Diagnostics, commented, “We are pleased with this next step in our development. Over the past few months, we have had key additions to our management team including Anne Cavanaugh as Vice President of Corporate Development, Keith Kardos, Ph.D. as Vice President of Research and Development, and Connie Viering as Vice President of Operations. The addition of these individuals has enabled us to take giant steps in the development of the company, including our transaction with Citrano.”
About CD Diagnostics
CD Diagnostics (www.cddiagnostics.com) is developing a series of immunoassays to detect the cause of joint pain using joint fluid analysis. The assays use a small sample of a patient’s joint fluid (called synovial fluid) to measure the presence of proteins (also known as biomarkers) that are produced by the body and are specific to a particular joint disease. The presence of these biomarkers in elevated levels indicates that the patient is reacting to a specific joint disease and serves as a positive diagnosis. Results are very accurate and available within five to ten minutes. Tests for other joint diseases, including gout and osteoarthritis, are in development.
Contact:
CD Diagnostics
Richard Birkmeyer, 484-476-4800
484-476-4801 (fax)
InvestorRelations@cddiagnostics.com
www.cddiagnostics.com
