By: Deborah Johnson Wood
San Diego-based Sequenom announced this week that it will acquire the Grand Rapids-based Center for Molecular Medicine, a clinical diagnostics laboratory created as a joint venture between Spectrum Health and Van Andel Research Institute. Sequenom’s purchase price is $4 million less CMM’s cash at closing. The acquisition could create several hundred jobs over the next five years.
Sequenom also announced plans for collaborative agreements with Spectrum Health and Van Andel Research Institute. The project includes a potential, near-term capital investment of approximately $10 million and a tax incentive package of up to $20 million over 12 years.
Daniel H. Farkas, the current executive director of CMM, will continue to oversee the lab and will join the Sequenom management team.
CMM is a CLIA-certified laboratory. In conjunction with the acquisition, Sequenom announced plans to complete a CLIA-certified laboratory facility in San Diego. That facility is expected to expand existing genetic research and serve as a West Coast adjunct to Sequenom’s prenatal business that will be serviced by the CMM lab.
“This acquisition positions us well to successfully launch our SEQureDx Trisomy 21 Down syndrome test through a CLIA-certified lab on schedule during the first half of 2009,” says Harry Stylli, president and CEO of Sequenom in a prepared statement. “Our relationship with Spectrum Health should be invaluable as we expedite prospective clinical validation studies for our Trisomy 21 test as part of our market development plan.”
“Sequenom and the Van Andel Research Institute have a shared vision,” says David Van Andel, chairman and CEO of Van Andel Institute, “to move important scientific findings from research laboratory to clinical laboratory to patients. Through this acquisition by Sequenom and our research collaboration, this goal can be realized more immediately.”
Source: Sequenom
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Deborah Johnson Wood is development news editor for Rapid Growth Media. She can be contacted at [email protected].
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