A management group led by Joseph M Limber, in partnership with Ampersand Capital Partners and 1315 Capital, has entered into a definitive agreement to acquire the commercial laboratory of Genoptix.
Genoptix is a Novartis company that specialises in oncology diagnostics and informatics services.
The transaction is expected to close in the first quarter of 2017 subject to certain closing conditions. The financial terms of the transaction have not been disclosed.
Headquartered in Carlsbad, California, Genoptix is one of the largest haematopathology centres in the US, providing thousands of oncologists and pathologists across the UStates with comprehensive testing solutions in haematology and solid tumour molecular profiling. In recent years the menu has expanded to include proprietary Next Generation Sequencing (NGS) panels based on clinically validated markers. Combined with the company's suite of traditional tests, these novel NGS tests provide an unprecedented level of diagnostic information to physicians. Genoptix was founded in 1999 and acquired by Novartis in 2011.
Limber, who previously served as CEO of Prometheus Laboratories, will become CEO of Genoptix upon completion of the transaction. Mark Spring, who served as CFO of Prometheus, will serve as CFO of Genoptix. Under Limber's leadership, Prometheus became a leading commercial US specialty diagnostic and therapeutic company in gastroenterology and oncology, with an innovative oncology diagnostic platform, culminating in its sale to Nestle Health Sciences in 2011.
"As a leading diagnostics solutions provider in the haematopathology industry. Genoptix has developed an impressive suite of services and solutions that empower clinicians to make more informed decisions and provide better patient care," says Limber. "We're excited to begin working with the committed employees at Genoptix to drive further growth and customer satisfaction."
Novartis will retain the BioPharma business of Genoptix at its current location under a new legal entity within the Novartis Group called Navigate BioPharma Services. Navigate BioPharma intends to continue without interruption to perform services for Novartis and plans to expand its work with other pharmaceutical, biotech, and diagnostic companies to meet the growing demand for specialised services in oncology clinical trials. The BioPharma business of Genoptix serves the pharmaceutical industry and performs other specialised research and development services to further patient care in oncology.
The acquisition will have no impact on Genoptix's day-to-day operations with its customers and the company will maintain its current location.
