Oct 6, 2022 12:52:23 PM |
Aug 8, 2002 3:35:00 AM |
Boston, MA — August 8, 2002 — Covington Associates, seasoned M&A advisors to technology and healthcare, today announced that its client, Waltham-based Inverness Medical Innovations, Inc., (“Inverness”), has acquired Wampole Laboratories, a unit of MedPointe, Inc., a leader in the US point-of-care medical diagnostics market. Under the terms of the agreement, Inverness will pay approximately $70 million in cash for Wampole utilizing both existing financial resources and additional borrowings, a portion of which is being arranged by Covington Associates. This marks the fourth transaction in less than a year involving Inverness and its previous parent company Inverness Medical Technology, Inc. and Covington Associates. This past year’s activity began in November 2001 when Covington Associates advised Inverness Medical Technology, Inc. in its sale to Johnson & Johnson for $1.3 billion.
The acquisition provides Inverness with significant intellectual property and enhanced capabilities in the US “point-of-care” market through Wampole’s status as a leading distributor of a wide range of immunoassay-based and other diagnostic tests to hospitals, physicians and reference laboratories. In a previously issued statement, Ron Zwanziger, CEO of Inverness Medical Innovations said, “We have now added another key strategic piece in our planned progression toward a preeminent position in the field of chronic disease management. This acquisition truly continues our transition toward expanded R&D efforts in order to continue with our goal of bringing innovative diagnostic products to market quicker. In our view, we now have a formidable presence in point-of-care diagnostics including a strong portfolio of intellectual property in point-of-care immunoassays.” As part of the transaction, Covington Associates played a dual role, serving as Inverness’ M&A advisor as well as acting as the arranger of approximately $70 million in senior debt financing which will include the refinancing of Inverness’ current outstanding senior debt.
Speaking on behalf of Covington Associates, Tom Cibotti, partner in the firm, said “Covington Associates is very excited to be advising Inverness and its CEO Ron Zwanziger as the company works to execute its strategy to deliver innovative diagnostics products to the market. This most recent transaction is a great step in that direction, and we look forward to participating in many more successes as Inverness continues its aggressive growth in the diagnostics arena.”
Wampole Laboratories is expected to generate revenues in excess of $40 million through its ownership of a portfolio of intellectual property and medical products for point-of-care diagnostics in professional settings.
About Inverness Medical Innovations
Inverness Medical Innovations, headquartered in Waltham, MA, manufactures and sells products for the women’s health market, and is engaged in the business of developing, acquiring, manufacturing, and marketing advanced medical device technologies. The Company is presently exploring new opportunities for its proprietary electrochemical and other technologies in a variety of consumer oriented applications including immuno-diagnostics with a focus on women’s health and cardiology. The Company’s women’s health and nutritional products are distributed to consumers through established retail distribution networks such as Wal-Mart, Walgreens and CVS.
About Covington Associates
Covington Associates are seasoned M&A advisors to technology and healthcare. Focused exclusively on mergers and acquisitions, Covington Associates has established a track record of success based on deep domain experience and an unrivaled level of service from a team of senior advisors. Since 1991, the firm has successfully completed over 50 transactions ranging in size from $10 million to over $1 billion in e-services, software, IT services, and healthcare technologies. To learn more about Covington Associates, visit www.covingtonassociates.com.
IMI has acquired Wampole
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