Serologicals to acquire Linco for $74.8 million

New York, March 23 - Serologicals Corp. said it has agreed to buy Linco, a privately owned life sciences company focused on supplying research assays and test kits for the Luminex-based multiplexing platform and other immunoassays. The price tag is $74.8 million.

Serologicals said the move strengthens its Luminex-based multiplexing portfolio and allows it to address the metabolic disease research market, a rapidly growing segment, given its relevance to the aging baby boomer population.

"We anticipate that this acquisition will strengthen the research segment's financial profile as Linco offers strong double-digit revenue growth and greater than 60% gross margins," said David A. Dodd, president and chief executive officer of Serologicals, in a news release.

Linco forecasts over $22.0 million in 2006 full year revenues. Under the acquisition agreement, Serologicals will pay $64.5 million in cash for the business plus an additional $10.3 million for the land and buildings currently occupied by the unit.

Serologicals expects to close in April.

The acquisition is expected to be accretive for Serologicals in fiscal year 2006 with a $0.03 to $0.04 positive impact on pro forma earnings per share for the nine month period.

Serologicals is an Atlanta-based provider of consumable biological products and technologies and services for biological research and drug discovery.

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