OMAHA, Neb. — Transgenomic, Inc. (NASDAQ: TBIO) today announced that it has completed the divestment of its Genetic Assays & Platforms (GAP) Business Unit to ADSTEC Corporation, and one of its affiliates (ADSTEC). ADSTEC is a privately-held Japanese company that manufactures and sells specialized instruments and reagents for the biotechnology industry.

Transgenomic transferred all rights to its GAP products, licenses, technology, know-how and trademarks, along with associated product inventory, to ADSTEC. ADSTEC has assumed the business, financial and human resource commitments of the GAP Business Unit and paid Transgenomic $300,000 for its existing stock and inventory.

Paul Kinnon, President and Chief Executive Officer of Transgenomic, commented, “With the closing of this transaction, we have divested our last major legacy business. The aging WAVE product line and geographically diverse customer base of the GAP Business Unit would have required substantial investments to make it competitive. Instead, this divestiture is expected to reduce our expenses by more than $1,000,000 per quarter. Our management and Board of Directors believe our resources will be better invested in growing our high-potential products for molecular diagnostics and precision medicine, powered by our unique ICE COLD-PCR™ technology and growing expertise in developing and commercializing liquid biopsy assays.”

ADSTEC’s President, Mr. Tsutomu Kojima, noted, “We believe this is a good deal for both companies. ADSTEC has the infrastructure and resources to revitalize this business unit, which we view as highly complementary to our current efforts. We look forward to the opportunity to work with our new employees to build on the goodwill and customer loyalty that Transgenomic developed during its years of managing this business.”

About ADSTEC

ADSTEC Corporation, headquartered in Japan and with US and European subsidiaries, including ADS Biotec Inc., is a global leader in the development, manufacture and sale of automated instruments and consumables for use in cytogenetic, pathology and research laboratories. The company’s technology and services enable its customers to increase productivity and throughput while maintaining a high degree of quality and consistency. With the acquisition of the Genetic Assays & Platforms (GAP) Business Unit of Transgenomic, ADSTEC has a truly global presence with development, sales and support operations on three continents, and users in over 30 countries. With a company-wide commitment to quality and value, the company serves professionals and laboratories performing diagnostic analysis in the areas of cytogenetics, pathology and molecular genetic analysis. For more information, visithttps://www.adsbiotec.com/.

About Transgenomic

Transgenomic, Inc. is a global biotechnology company advancing personalized medicine in cardiology, oncology and inherited diseases through advanced diagnostic technologies, such as its revolutionary ICE COLD-PCR™ technology and its unique genetic tests provided through its Patient Testing business. The company also provides specialized clinical and research services to biopharmaceutical companies developing targeted therapies and sells equipment, reagents and other consumables for applications in molecular testing and cytogenetics. Transgenomic’s diagnostic technologies are designed to improve medical diagnoses and patient outcomes.