Dynex technologies, a global supplier of microplate instrumentation and automation products for the biomedical research, drug discovery and clinical diagnostic markets was purchased from biotechnology company, Capital Genomix. While financial terms were not disclosed, Magellan expects to generate consolidated revenues of more than $30 million (€23 million) in 2004.
On a strategic level, Magellan Biosciences, which is majority owned by Ampersand Ventures, has established a strong life science platform through a combination of internal growth and acquisitions. Dynex's purchase represents Magellan's second acquisition after previously acquiring technology provider outfit ESA.
Magellan's acquisition is likely to give them a major stake in the life science research market. Microplates are the standard format for experimentation in clinical diagnostics, and Dynex, which is to continue operating as a subsidery of Magellan, already has a strong presence in these markets with its line of microplate readers, washers and automated high throughput systems.
Walter DiGiusto, president of ESA said: "We see opportunity for significant growth coming from the new product pipelines of both Dynex and ESA, and from synergies in marketing, distribution and product development that will benefit both businesses."
A report by PhorTech International lays bare the changes facing manufacturers in the U.S. market for microplate readers and automated process instrumentation. These products continue to grow in popularity and are now used by an estimated 40,550 life science researchers. Sales have continued to climb, with placements this year projected to exceed $100 million (€79 million) in 2003.