Nanogen to Merge with Private French Diagnostics Firm

(San Diego, CA, USA) has announced that it will merge with the private French company Elitech. The combination will create a global provider of products to the molecular, point-of-care, clinical chemistry, and microbiology diagnostics markets with expected first year revenues of more than US$150 million.

The transaction combines Nanogen's technology leadership in molecular and point-of-care (POC) diagnostics with the strong revenue and profit base stemming from the Elitech Group's (Puteaux [suburb of Paris], France) global manufacturing, sales, and distribution of in vitro diagnostic (IVD) products for the clinical chemistry and microbiology markets.

The combined company will be headquartered in San Diego under the leadership of Pierre Debiais as CEO. The name of the combined company has not yet been determined. The combination is structured as a tax-free stock-for-stock exchange of shares of Nanogen common stock for all Elitech capital stock and is a reverse acquisition of Nanogen by The Elitech Group.

Nanogen provides innovative, high quality diagnostic products to clinicians, physicians, and researchers worldwide, making it easier to predict, diagnose, and help treat disease. The company's products include molecular diagnostic kits and reagents, and kits for rapid, point-of-care diagnostic tests. Nanogen has pioneered research in areas involving nanotechnology, biomarkers, and molecular biology to bring better results to diagnostics and healthcare.

The Elitech Group is a high growth, in vitro diagnostic company with global sales and distribution capabilities in over 100 countries. The company is the largest independent distributor of IVD products in France. Elitech leverages products from its own manufacturing facilities as well as third-party products. The company provides clinical chemistry, microbiology, immunology, and electrophoresis products and sells via distributors and through its subsidiaries in the United States and several European countries. The share exchange agreement contemplates that combined operations will include all of Elitech's operations except for the sales subsidiary in France, which is subject to an exclusive two-year right for the combined company to purchase the operation for $5.1 million. In the interim, Elitech France will distribute products from the combined entity.

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Nanogen
Elitech Group