Authored by James Sheppard
Global pharmaceutical company Roche announced that its diagnostic division, Roche Diagnostics, had completed the acquisition of the USA based developer Constitution Medical Inc (CMI). CMI are based in the Boston biotech cluster and develop innovative hematology testing systems designed to provide faster and more accurate diagnosis of blood-related diseases and improving patient care.
The deal which will give Roche Diagnostics access to CMI’s Bloodhound technology. Bloodhound is a fully automated system in development with the capability to increase efficiency and save lab space. CMI will serve as a centre of excellence in the field of hematology within the Roche Diagnostic business.
Roland Diggelmann, COO of Roche Diagnostics, stated ‘with this acquisition, we will further strengthen our commitment to hematology and drive towards integrated laboratory solutions with innovative products which deliver medical value to our customers and patients. Patients will benefit from faster and more accurate diagnosis of blood diseases such and anaemia and leukaemia.’
The deal which is estimated to be over $250m consisted of a $220m upfront payment as well as further contingency payments depending on the performance of certain products. CMI was created by the private equity firm Warburg Pincus and the CMI management team. The deal caps a good first half of 2013 for Warburg Pincus following on from there $8.7bn sale of Bausch & Lomb to the Canadian pharma company Valeant.
