Caliper Sells Dissolution Testing Line to SOTAX

The acquisition should help Sotax, currently the second largest dissolution testing company, to grow its market share in both this market and the market for tablet processing. According to an SEC filing, Caliper expects to realize $12.6 million in net cash proceeds from the sale.

Hopkinton, MA 10/29/07; Washington, DC 10/30/08—Caliper Life Sciences has agreed to sell its Pharmaceutical Development & Quality Analysis (PDQ) product line to SOTAX for approximately $13.8 million in cash and $2 million of assumed liabilities. The PDQ line consists of the TPW3 tablet processing workstation, the APW3 active ingredient processing workstation, the MultiDose G3 dissolution workstation and related products. “A sharper strategic focus can facilitate an increased top line growth rate and potential for achieving further operating efficiencies, accelerating our timeline to profitability,” stated Caliper President and CEO Kevin Hrusovsky. The PDQ line had 2007 sales of $12.3 million, according to Caliper’s SEC filing. Approximately 20–25 Caliper employees will be offered positions with SOTAX. Caliper also plans to sublease 10,000 square feet of manufacturing and office space to SOTAX on a market rate basis, reducing Caliper’s facility costs.

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