Bio-Reference Sells Its GenCare Division For Up To $6.0
Million
Tuesday September 30 1:43 PM EDT
Company Press Release
ELMWOOD PARK, N.J.--(BUSINESS WIRE)--Sept. 30, 1997--Bio-Reference Laboratories,
Inc. (NASDAQ:BRLI), one of the largest independent clinical laboratories in the northeastern
United States, announced today that it has completed and closed the sale of certain assets of its
GenCare Division (``GenCare'') to IMPATH INC. (``IMPATH'').
GenCare provides oncology and hematology laboratory testing services to hospitals, hematologists
and oncologists in the New York metropolitan area and Florida.
The purchase price included a $4.6 million cash payment at closing with an additional $700,000 to
$1.4 million payable over a two-year period subject to certain conditions. GenCare was purchased
by BRLI in January 1995 for an aggregate 473,145 shares of BRLI common stock and
approximately $235,000 of BRLI Debentures.
Marc D. Grodman, M.D., BRLI's president commented that after the sale, BRLI will continue to
market tumor pathology testing services under the name ``GenPath'' to urology, gastroenterology
and obstetric and gynecology physician clients. He pointed out that the GenCare business sold by
BRLI accounted for less than 8% of BRLI's annual net revenues for its most recent fiscal year. Dr.
Grodman continued, ``By selling these assets we hope to realize approximately $.85 per share in
cash on shares outstanding if all contingencies are met. This transaction affords us the liquidity to
explore our options in the health care marketplace.''
Bio-Reference Laboratories, Inc. is a highly automated computer-driven clinical laboratory serving
markets in the New York/Tri-State metropolitan area and providing specialty services throughout
the United States. The Company performs highly sophisticated testing procedures in addition to
high-volume routine testing in clinical chemistry, special chemistry, endocrinology, serology,
diagnostic immunology, microbiology, rheumatology parasitology, cellular immunology,
radioimmunoassay, hematology, immunohematology, cytology, anatomic pathology and urinalysis.
The Company's common stock is traded on the Nasdaq Small Cap system under the symbol
``BRLI''; its Class A Warrants are traded under the symbol ``BRLIW'' and its Class B Warrants are
traded under the symbol ``BRLIZ.''
Contact:
Bio-Reference Laboratories, Inc.
Marc Grodman/Sam Singer
201/791-2600 |
