Qiagen Snags SABiosciences for $90M to Boost Diagnostic Capabilities
Firm’s PCR array platform includes more than 100 disease- and pathway-focused panels.!--h2>
Qiagen is taking over SABiosciences for $90 million. The transaction, scheduled to close in December, will add disease- and pathway-focused PCR assay panels to Qiagen’s portfolio.
The acquisition is expected to add revenues of approximately $24 million for 2010. Additionally, the transaction is expected to be neutral to EPS in 2010 and to be significantly accretive to adjusted EPS in 2011.
SABiosciences’ primary product family includes more than 100 real-time PCR assay panels designed for high-performance analysis of DNA, RNA, epigenetic, and miRNA targets in biological pathways associated both with specific diseases such as cancer, diabetes, and cardiovascular disorders as well as with pathways like apoptosis, signal transduction, and toxicology.
Solutions focusing on the analysis of molecular interactions in pathways as opposed to single gene expression open up a new dimension for gene analysis, points out Qiagen. In a single experiment users can learn how gene activity in their samples correlates with the state of a disease of their particular interest. Qiagen believes that SABiosciences’ approach can thus accelerate drug research and discovery.
Additionally, Qiagen will leverage SABiosciences’ assets and expertise to aid biomarker research and validation as well as diagnostic development. This transaction is thus synergistic to Qiagen’s decision in September to purchase DxS, a companion diagnostic firm, for $95 million.
Qiagen’s own portfolio includes pyrosequencing-based K-RAS, BRAF, and methylation assays as well as gene-expression and miRNA assays. Qiagen’s laboratory-based molecular diagnostics are divided into three segments: prevention, profiling, and personalized healthcare. The prevention division has HPV tests available and is developing tests for chlamydia and gonorrhea.
The profiling segment has over 80 such assays that help confirm diagnosis, and the personalized healthcare segment sells about 20 assays that guide therapy for prediagnosed symptomatic patients.
SABiosciences is based in Frederick, MD, and employs a staff of around 100. Qiagen’s North American headquarters are based in Germantown and Gaithersburg, MD. Qiagen intends to establish the Frederick site as a center of excellence in biological content development and to further grow the location in the near future.
“The combination of SABiosciences’ strong content development and bioinformatics capability with Qiagen’s leadership in molecular biology and its global footprint allow us to take our proven PCR Array technology to the next level," notes Li Shen, president of SABiosciences. "Together with Qiagen we can roll out this technology internationally and bundle it with one of the industry’s most reputed product portfolios, thereby providing even more value to our customers."