Brooks Acquires Sample Management Firm
Based in Indiana, BioStorage services span the biosample life cycle and include collection, transportation, processing and disposal. According to Brooks’ quarterly conference call, service and storage companies such as BioStorage account for 20% of the biosample storage market. BioStorage maintains six repositories in North America, Europe and Asia, three of which are alliances. BioStorage revenues increased more than 25% in 2014, and the company has more than 250 customers. Discussing BioStorage on the call, Dr. Schwartz commented, “The revenue mix is approximately 60% annuity-based services, including multiyear sample storage and sample management. The remaining 40% of revenue is ancillary, fee-for-services business, which includes sample preparation and genomic services.”
Chelmsford, MA 11/5/15—Brooks Automation, a supplier of automated and cryogenic solutions, has definitely agreed to acquire BioStorage Technologies for $127 million in cash. BioStorage is a provider of sample management programs and integrated cold chain solutions for the biosciences. Trailing 12-month revenues for BioStorage were $40 million. “BioStorage Technologies brings strong customer relationships and excellent organizational capability, along with market leading outsourced service solutions that enable customers to focus on their core business activities,” stated Brooks CEO Dr. Steve Schwartz. “This merger allows us access to a much broader customer base that is storing samples at ultracold temperatures, and simultaneously provides a means by which BioStorage can use our tools to expand into new market opportunities like hospitals and universities.” The transaction is expected to close in December and to be accretive to Brooks’ non-GAAP earnings in the first half of fiscal year 2016.
