Roche Acquires NimbleGen, Building Microarray Business
Roche’s entry will increase competition in the microarray market. Roche’s main competitor seems to be Agilent, which is also able to offer microarray products in combination with PCR products and also competes in the market for comparative genomic hybridization arrays. NimbleGen also provides Roche with flexible and relatively low-cost manufacturing for microarrays. According to Thomson Financial News, Roche remains interested in acquiring other research instrument companies.
Madison, WI 6/19/07—Roche has agreed to acquire microarray company NimbleGen Systems for $272.5 million. In 2006, NimbleGen posted revenues of $13.5 million and total losses of $8.3 million (see IBO 3/31/07). NimbleGen will join Roche’s Applied Science business, part of Roche Diagnostics, whose other research products include PCR instruments and reagents, and the recently acquired 454 Life Sciences business (see IBO 3/31/07). “This acquisition represents a further milestone in our strategy to strengthen our position as a major player and complete solution provider in the genomics research market by extending our activities into the microarray segment,” said Severin Schwan, CEO of Roche Diagnostics. “Joining Roche will accelerate and broaden NimbleGen’s opportunities with our high density DNA microarray business as well as with new technologies focused on targeted DNA sequencing,” stated NimbleGen CEO Stan Rose. Roche plans to maintain NimbleGen’s three facilities and all of its 140 employees. The transaction is expected to close in the third quarter.
