SAN JOSE, Calif., Sept. 1 — Applied Imaging
Corp. (“Applied Imaging” or the “Company”) (OTC Bulletin Board: AICX), a
leading supplier of automated imaging and image analysis systems, today
announced that it had entered into a definitive agreement to be acquired by
Genetix Group plc. (“Genetix”) (AIM: GTX), the UK-based cell biology,
proteomics & genomics health technology group, in an all cash transaction
valued at $18.3 million.
Under the terms of the agreement, which is subject to approval by
Applied Imaging’s stockholders, Genetix will pay $3.06 per share to acquire
all of Applied Imaging’s common stock. The transaction is expected to close
in the fourth quarter of 2006. Aquilo Partners, Inc. acted as exclusive
financial advisor to Applied Imaging in the transaction.
Based in New Milton, Hampshire, UK, Genetix designs, develops and
manufactures innovative systems that reduce the time and cost of
introducing new biopharmaceuticals. Its products include instruments and
consumables that were used in the Human Genome Project and are now used in
the genetic analysis of human diseases — analyzing and selecting cells for
the production of therapeutic proteins. In addition to its UK headquarters,
Genetix has offices in Boston, MA and Munich, Germany.
As a result of the proposed combination, Applied Imaging and Genetix
expect to be better able to pursue growth opportunities and longer-term
strategic goals through leverage of technical, commercial and capital
resources, as well as by cross-selling of an enhanced product portfolio.
“This proposed acquisition is consistent with our strategy to broaden
and strengthen our capabilities in cell imaging and analysis. By
diversifying our product portfolio and building our US presence we will be
better able to address global growth opportunities in the drug discovery
and clinical diagnostics markets. Genetix’s cell biology instruments and
reagents complement Applied Imaging’s imaging and image analysis systems
and will help both companies to expand in the US, Europe and Asia,” said
Mark Reid, CEO of Genetix.
“Genetix’s capabilities are very complementary to those of Applied
Imaging,” added Robin Stracey, President and CEO of Applied Imaging. “We
are excited by the synergies and the prospects for enhanced competitiveness
of the combined company. We believe this is the right path for our
stockholders, our customers and our employees.”
Kirk Raab, Applied Imaging’s Chairman, commented, “This transaction
provides Applied Imaging’s stockholders with significant value. In
addition, the combined Company will have a stronger market position and
capital structure to be able to execute strategic growth initiatives.”