Ciphergen Biosystems’ stockholders okayed the sale of its proteomics instrument business to Bio-Rad Laboratories for $20 million in cash. The decision comes after the initial definitive agreement was signed between the two companies on August 14, 2006. Ciphergen expects to close the transaction on or before November 1, 2006.
"With the approval of the sale of the instrument business, Ciphergen completes its transition into a specialty diagnostics company," remarks Gail S. Page, president and CEO of Ciphergen.
Under the terms of the agreement, Bio-Rad will make a $3 million equity investment in Ciphergen. Bio-Rad will manufacture, sell, and market the SELDI technology to the life sciences market for proteomics applications, including biomarker discovery, characterization, and validation.
Ciphergen reports that it will also enter into a supply agreement with Bio-Rad whereby it will purchase instruments and consumables for the continued development of its diagnostics business.