Techne
This article was originally published in The Gray Sheet
Executive Summary
Agrees to acquire the primary assets of Genzyme General's Research Products business for about $65.5 mil. - including $24.8 mil. in cash, $17 mil. in Techne common stock and estimated royalties over five years of $23.7 mil. The Research Products unit assets to be acquired generated about $15 mil. in 1997 and consist of a catalog business offering over 350 recombinant proteins, antibodies, and human, mouse, and rat ELISA research kits to over 4,000 customers. Minneapolis-based Techne, maker of cytokine and cytokine-related reagents and assays for use in basic and clinical research, notes the acquisition will extend its network of scientific contacts and collaborations, add product volume and "improve our manufacturing efficiency and marketing and sales effectiveness." Genzyme General is divesting the business as part of a strategy to "focus on growth businesses consistent with our core competencies," and notes that its diagnostics business will continue to produce in vitro diagnostics including rapid tests, clinical chemistry and immunochemistry products. The deal is expected to close by July 1...