Isonics Corporation Completes Chemotrade GmbH
Acquisition
SAN JOSE, Calif., July 21 /PRNewswire/ -- Isonics Corporation (OTC Bulletin
Board: ISON -
news) reported today that it completed its previously announced acquisition of
Dusseldorf, Germany-based Chemotrade GmbH for $2.5 million in a combination of
cash, notes, and restricted Isonics common stock. Additional consideration of $1.1
million is payable over the next three years based on Chemotrade meeting future
profitability targets. Chemotrade, a supplier of both stable and radioactive isotopes to
customers world-wide, had sales of over $7 million for its fiscal year ended December
31, 1997 and has been profitable in each of the past 7 years. The Company will operate
as a wholly owned subsidiary of Isonics with existing management remaining in place.
Isonics President & CEO James E. Alexander commented, ''The acquisition of
Chemotrade not only opens the European market and provides access to key
customers for Isonics products, it also expands our product lines to include
radioisotopes used in medical diagnostics and therapeutics. Our goal is to leverage
Chemotrade's current European market position while implementing plans to bring our
stable isotope production capabilities to western Europe.''
Isonics is a specialty chemical and advanced materials company, which develops and
commercializes products based on enriched stable isotopes. Stable isotopes can be
thought of as ultra-ultra pure materials. This high degree of purification provides
enhanced performance properties compared to normal materials. Stable isotopes have
commercial uses in several areas, including energy; research, medical diagnostics, and
drug development; product tagging and stewardship; semiconductors; lasers; and optical
materials.
Except for historical information contained herein, this document contains
forward-looking statements within the meaning of the Private Securities Litigation
Reform Act of 1995. These statements involve known and unknown risks and
uncertainties that may cause the Company's actual results or outcomes to be materially
different from those anticipated and discussed herein
including the risks inherent in acquiring a company in Chemotrade's industry (e.g.
assumption of
known and unknown liabilities, including environmental liabilities). Further, the Company
operates
in industries where securities values may be volatile and may be influenced by regulatory
and other
factors beyond the Company's control. Other important factors that the Company
believes might
cause such differences are discussed in the risk factors detailed in the Company's
Prospectus,
dated September 22, 1997, and its recent 10-QSB's filed with the Securities and
Exchange Commission. In assessing forward-looking statements contained herein,
readers are urged to carefully read all cautionary statements contained in those filings
with the Securities and Exchange
Commission.
SOURCE: Isonics Corporation
More Quotes and News:
Isonics Corp (OTC BB:ISON - news)
Related News Categories: chemicals, medical/pharmaceutical
|
