BD Biosciences' Clontech finds a buyer.
Otsu, Japan 7/1/05; Franklin Lakes, NJ 7/1/05--Takara Bio, a unit
of Japanese conglomerate Takara, has entered into a definitive agreement
to acquire the Clontech unit for $60 million from Becton, Dickinson and
Company's BD Biosciences. Based in Palo Alto, California with 190
employees, Clontech Laboratories develops, manufactures and markets
biological products for the life science market, specializing in
molecular biology. In fiscal 2004, Clontech posted sales of around $60
million. According to Takara Bio, Clontech's products for gene
function and protein interaction analysis will complete Takara
Bio's molecular biology products, such as restriction enzymes and
PCR enzymes. Takara also expects the acquisition to enhance its European
and US business. In fiscal 2004, approximately 85% of Takara Bio's
sales were in Japan, while 70% of Clontech's sales were in the US
and Europe. The acquisition is also expected to strengthen Takara
Bio's US research capabilities. In fiscal 2004, Takara Bio's
research reagent revenues totaled [yen] 11.8 billion ($10.9 million).
The acquisition is expected to close by August 2005 and will be made
through a US-owned subsidiary of Takara Bio.
BD announced it was putting Clontech up for sale last fall (see IBO 10/15/ 04) and took a pre-tax charge of $124 million in fiscal 2004 to
write down Clontech's net assets to fair value. For the first six
months of fiscal 2005 ended March 31, Clontech sales fell 8.4% to $28.7
million. The acquisition should help Takara Bio expand its US business.
Last year, Takara Bio acquired its US subsidiary. Also in 2004, Takara
Bio went public on the Tokyo stock exchange.