Total purchase price will exceed $215M.
Abbott has exercised its option to purchase the remaining equity ownership in Ibis Biosciences for $175 million. In addition to the closing purchase price, Isis will receive earn out payments from Abbott tied to post-closing sales of Ibis systems, including instruments and assay kits.
Earlier this year, Abbott invested $40 million in Ibis in exchange for approximately 18.6% of Ibis’ outstanding equity. This investment, along with the $175 million that would be due at closing, would result in a total acquisition price of $215 million plus earn out payments.
“The broad applicability of Ibis’ technology has been demonstrated in biodefense applications, microbial forensics, and infectious disease detection and surveillance, and we believe that it has the potential to be a powerful tool in the detection and surveillance of infectious diseases in the hospital and clinical settings,” said Stafford O’Kelly, vp, molecular diagnostics at Abbott.