Affymetrix Completes Acquisition of ParAllele BioScience; Companies Combine Their Innovative Technologies to Enable Advances in
October 24 2005 - 4:21PM
Business Wire
Affymetrix Inc. (Nasdaq:AFFX) today announced the completion of its
acquisition of privately held ParAllele BioScience, Inc., a
provider of highly-scalable technology for comprehensive genetic
studies. In connection with the completion of the acquisition,
ParAllele stockholders will receive approximately $120.8 million in
the form of approximately 2.29 million shares of Affymetrix common
stock and $11.7 million in cash in exchange for all of their
outstanding shares and the assumption of all of ParAllele's stock
options. The acquisition was approved by ParAllele stockholders on
October 20, 2005 and was completed on October 21, 2005. "The
acquisition of ParAllele will significantly accelerate the delivery
of next-generation products to the marketplace," said Stephen P.A.
Fodor, Ph.D., Founder, Chairman and Chief Executive Officer of
Affymetrix. "ParAllele and Affymetrix' innovative technologies will
be combined to deliver new discovery products for basic research
and a scalable platform for the delivery of healthcare
diagnostics." The companies are already offering new genotyping
products based on the ParAllele technology and will continue to
leverage these capabilities to develop products for the expanding
genetic studies market. With the completion of this transaction,
Affymetrix is increasing its portfolio of products to include new
1,500 SNP custom assays and 20,000 non-synonymous coding SNP
assays. ParAllele was founded in October 2001 by a team of
scientists from the Stanford Genome Technology Center. The founding
team consisted of physicists, geneticists and technologists driven
by a common desire to use cutting-edge technology to solve
real-world problems in genetics. ParAllele has approximately 75
employees who will be joining Affymetrix. About Affymetrix
Affymetrix scientists invented the world's first microarray in 1989
and began selling the first commercial microarray in 1994. Since
then, Affymetrix GeneChip(R) technology has become the industry
standard in molecular biology research. Affymetrix technology is
used by the world's top pharmaceutical, diagnostic and
biotechnology companies as well as leading academic, government and
not-for-profit research institutes. More than 1,300 systems have
been shipped around the world and more than 3,000 peer-reviewed
papers have been published using the technology. Affymetrix'
patented photolithographic manufacturing process provides the most
information capacity available today on an array, enabling
researchers to use a whole-genome approach to analyze the
relationship between genetics and health. Headquartered in Santa
Clara, Calif., Affymetrix has subsidiaries in Europe and Asia in
addition to manufacturing facilities in Sacramento, Calif. and
Bedford, Mass. The company has about 1000 employees worldwide. For
more information about Affymetrix, please visit the company's
website at www.Affymetrix.com. All statements in this press release
that are not historical are "forward-looking statements" within the
meaning of Section 21E of the Securities Exchange Act as amended,
including statements regarding Affymetrix' "expectations,"
"beliefs," "hopes," "intentions," "strategies," or the like. Such
statements, including Affymetrix' expectations that the transaction
will accelerate product development and commercialization and drive
microarray sales, are subject to risks and uncertainties that could
cause actual results to differ materially for Affymetrix from those
projected. These risks and uncertainties include, but are not
limited to: (i) the inability of Affymetrix to successfully
integrate ParAllele's business into its existing business in a
timely and non-disruptive manner; (ii) the inability of Affymetrix
to achieve expected synergies from the transaction, including
revenue synergies; (iii) difficulty in retaining ParAllele's
employees following the transaction; (iv) unexpected costs and
charges associated with the acquisition, including the write-off of
intangible assets; and (v) other risks described in Affymetrix'
Form 10-K for the year ended December 31, 2004 and other SEC
reports, including its Quarterly Reports on Form 10-Q for
subsequent quarterly periods as well as Affymetrix' registration
statement on Form S-4 filed with the SEC containing a prospectus in
connection with its acquisition of ParAllele. Affymetrix expressly
disclaims any obligation or undertaking to release publicly any
updates or revisions to any forward- looking statements contained
herein to reflect any change in Affymetrix' expectations with
regard thereto or any change in events, conditions, or
circumstances on which any such statements are based. NOTE:
Affymetrix, the Affymetrix logo, and GeneChip are registered
trademarks owned or used by Affymetrix Inc.
Affymetrix (NASDAQ:AFFX)
Historical Stock Chart
From Jun 2024 to Jul 2024
Affymetrix (NASDAQ:AFFX)
Historical Stock Chart
From Jul 2023 to Jul 2024