Roche buys BioVeris to expand immunochemistry biz
This article was originally published in The Gray Sheet
Executive Summary
Roche gains expanded access to electrochemiluminescence (ECL) technology used in its Elecsys automated immunodiagnostic systems through the $600 million purchase of its technology licensor BioVeris, announced April 4. The deal allows Roche Diagnostics to expand its immunochemistry business from the human diagnostics field into new market segments such as life science research and development, patient self testing, and drug discovery and development, among other opportunities, the firm says. Roche is paying $21.50 per share for BioVeris - a 58% premium over its April 3 closing price of $13.60. BioVeris reported revenue of $9.1 million for its fiscal third quarter (ended Dec. 31), up 65% from the year-ago quarter largely due to a $2.8 million payment from Roche to account for certain sales by Roche in 2004 that went beyond the scope of the firms' license deal. "This acquisition ensures that Roche will be able to provide unrestricted [ECL] access to all customers," Roche says...