CINCINNATI, June 2 /PRNewswire-FirstCall/ -- Kendle , a leading global full-service clinical research organization (CRO), today announced the acquisition of DecisionLine Clinical Research Corporation (DecisionLine Clinical Services), a privately owned, early phase CRO with a state-of-the-art medical facility in Toronto, Canada. DecisionLine specializes in the conduct of Phase I studies involving the measurement of pharmacodynamic effects of central nervous system (CNS) drugs, and is recognized worldwide as a leader in the conduct of human abuse liability studies and the assessment of abuse potential and risk mitigation. The company brings to Kendle extensive world-class scientific expertise with psychopharmacology high-end exploratory/translational medicine capabilities, from first-in-human to proof-of-concept trial conduct, as well as drug development consulting, medical writing, data management, biostatistics and other support services. Kendle acquired DecisionLine for an undisclosed cash amount. Specific terms of the transaction were not disclosed. The acquired business will report into Philip J.W. Davies, Vice President, Early Phase.
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“With Phase I growth expected to outpace the broader outsourcing market at approximately 15 percent annually, early phase development remains an important need for our customers and an area of significant growth opportunity for Kendle,” said President Simon Higginbotham. “The addition of DecisionLine is an important step in building Kendle’s global capabilities for exploration of early phase drug candidates and supports our strategic initiative to drive growth in our Phase I business. We look forward to leveraging the benefits of our combined and strengthened scientific expertise as we assist our customers in tapping their most promising new compounds for development.”
DecisionLine was founded in 1997 by President and CEO Edward M. Sellers, MD, PhD, FRCPC, FACP and Senior Vice President, Research Development & Medical Affairs Myroslava K. Romach, MSc, MD, FRCPC. The company’s 82-bed, 36,000-square foot medical facility is staffed by a team of internationally recognized scientists, including clinical pharmacologists and neuropsychologists, physicians, research nurses, pharmacists, paramedics and research assistants. DecisionLine employs approximately 110 full-time and 130 part-time associates. The company has grown its revenue at an average compound annual growth rate of 60 percent since 2002, and has been named to Profit magazine’s list of the top 100 fastest growing companies in Canada. Dr. Sellers and Dr. Romach will play key leadership roles as part of Kendle’s Early Phase organization. Dr. Sellers will serve as General Manager, Early Phase, Toronto and Senior Scientist, Kendle International and Dr. Romach will assume the role of Head of Clinical Operations and Medical Affairs, Early Phase, Toronto and Senior Scientist, Kendle International.
“We are extremely pleased to join Kendle,” said Dr. Sellers, “DecisionLine’s specialized experience in Phase I together with Kendle’s global capabilities and footprint will provide great benefits to the customers, investors and associates of our combined organization as we work to establish Kendle as a world leader in early phase development services.”
Kendle’s existing early phase capabilities include a Clinical Pharmacology Unit (CPU) in Utrecht, The Netherlands, and a Bioequivalence Unit in Morgantown, W.Va. Kendle’s CPU is strategically located on the campus of University Hospital Utrecht and includes a 48-bed facility plus visit area with on-site project management, recruitment and screening, sample handling, pharmacy (GMP), quality control, clinical data management, biostatistics, medical writing, a Phase IIA team and independent Clinical Quality Assurance. The company’s bioequivalence facility, located near West Virginia University, has been in operation for more than 25 years and provides bed space for 118 subjects.
Investor Webcast and Conference Call
Kendle will host a telephone conference call and Webcast Tuesday, June 3 at 9:30 a.m. Eastern Time to discuss the DecisionLine acquisition and provide an update on second quarter progress.
About Kendle
Kendle International Inc. is a leading global clinical research organization providing the full range of early- to late-stage clinical development services for the world’s biopharmaceutical industry. Our focus is on innovative solutions that reduce cycle times for our customers and accelerate the delivery of life-enhancing drugs to market for the benefit of patients worldwide. As one of the fastest-growing global providers of Phase I-IV services, we offer experience spanning 90 countries, along with industry-leading patient access and retention capabilities and broad therapeutic expertise, to meet our customers’ clinical development challenges. Kendle was named “Top CRO to Work With” in the Thomson CenterWatch 2007 survey of U.S. investigative sites and “Best CRO” for 2007 and 2006 by leading global pharmaceutical publication Scrip World Pharmaceutical News.
Additional information and investor kits are available upon request from Kendle, 441 Vine Street, Suite 1200, Cincinnati, OH 45202 or from the company’s Web site at www.kendle.com .
Information provided herein, which is not historical information, such as statements about prospective earnings, revenue and earnings growth, are forward-looking statements pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. All such forward-looking statements, including the statements contained herein regarding anticipated trends in the company’s business, are based largely on management’s expectations and are subject to and qualified by risks and uncertainties that could cause actual results to differ materially from those expressed or implied by such statements. These risks and uncertainties include, without limitation, competitive factors and industry consolidation, outsourcing trends in the pharmaceutical and biotechnology industries, the company’s ability to manage growth and to continue to attract and retain qualified personnel, the company’s ability to complete additional acquisitions and to integrate newly acquired businesses, the company’s ability to penetrate new markets, the fixed price nature of contracts and cost overruns, the loss, cancellation or delay of contracts or amendments thereto, the ability to maintain existing customer relationships or enter into new ones, the company’s sales cycle, the effects of exchange rate fluctuations, risks related to non-U.S. operations and other factors described in the company’s filings with the Securities and Exchange Commission, including Quarterly Reports on Form 10-Q and the Annual Report on Form 10-K. No assurance can be given that the company will be able to realize the net service revenues included in backlog and verbal awards. Kendle believes that its aggregate backlog and verbal awards are not necessarily a meaningful indicator of future results. All information in this release is current as of June 2, 2008. The company undertakes no duty to update any forward-looking statement to conform the statement to actual results or changes in the company’s expectations.
CONTACT: Investors, Patty Frank, +1-513-763-1992, or Media, Lori Dorer,
+1-513-345-1685 both of Kendle International Inc.
Web site: http://www.kendle.com/
