Affymetrix to Acquire eBioscience
Affymetrix Inc. signed a definitive agreement to acquire eBioscience Inc. of San Diego, a privately held flow cytometry and immunoassay reagents company, for $330 million in cash subject to certain customary adjustments.
Subject to customary conditions, the transaction is expected to close late in the fourth quarter 2011.
Affymetrix expects the acquisition of eBioscience to benefit the company in the many ways. It should create significant new commercial opportunities in the post-genomic applications of immunology, oncology, cell and stem cell biology, and diagnostics; augment the company’s growing business in molecular diagnostics; expand its product portfolio to include multicolor flow cytometry reagents and a range of reagents for the analysis of cytokines, growth factors and other soluble proteins; and leverage the commercial capabilities of both companies to generate new growth opportunities.
“With eBioscience, Affymetrix will significantly expand its addressable markets by adding an industry-leading portfolio of cell-based and immunoassays,” said Dr. Frank Witney, president and CEO of Affymetrix. “These new products are a critical part of our customers’ work flow in our key target markets of translational medicine, oncology and immunology.”
To fund the transaction, Affymetrix obtained a $190 million fully underwritten, senior-secured financing commitment from GE Capital, Healthcare Financial Services and lenders, Silicon Valley Bank, CIT Healthcare LLC and CIT Bank. The company will be required to retain $95 million in cash-on-hand to cover its outstanding convertible debt.
The company expects to maintain eBioscience’s management team and operations in San Diego.
Affymetrix manufactures systems for the diagnostic, biotechnology and pharmaceutical industries.
For more information, visit: www.affymetrix.com
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