Dyax Announces Agreement for Sale of Biotage Subsidiary
CAMBRIDGE, Mass.--(BUSINESS WIRE)--Oct. 14, 2003--Dyax Corp. (Nasdaq: DYAX - News) announced today that it has entered into an agreement with Pyrosequencing AB (Stockholm:PYROA - News), headquartered in Uppsala, Sweden, for the sale of Dyax's wholly-owned separations subsidiary, Biotage, LLC (formerly known as Biotage, Inc.). The purchase price is $35 million before transaction expenses and deduction for approximately $5 million of Biotage debt. The sale of Biotage is subject to customary closing conditions, and is anticipated to be completed by the end of October 2003. After transaction expenses, Dyax projects that it would receive approximately $23 million in cash at closing, with up to an additional $5 million within one year of the closing, which is being held in an indemnity escrow to cover the representations, warranties and covenants of Dyax contained in the agreement. CIBC World Markets represented Dyax in the transaction.
"The sale of Biotage will allow Dyax to focus exclusively on biotherapeutics. Our clinical compounds in active trials have demonstrated therapeutic potential in three indications, and we are eager to advance our clinical programs as well as the pre-clinical candidates in our pipeline. We have viewed Biotage as a financial asset for some time, and are pleased with the expected acquisition of the subsidiary by Pyrosequencing," commented Henry E. Blair, Chairman, President and CEO of Dyax Corp... |
