Merger Commentary From Yahoo!
BLUD + GBL
technetx
Sep 20 1998
3:51PM EDT
Tom,
This take out of GBL by BLUD may make some sense. Do you or anyone know if the SBC (Shanghai Blood Center) partnership with Gamma Bio. ever went through?
If this deal did happen then BLUD would have a valuable inroad to the Chinese serology market . I quote from Gamma news release Apr. 1998:
" At present, China has no manufacturer dedicated to producing a complete line of blood group typing reagents. While no accurate dollar value can be placed on the cooperative agreement at present, the China market for diagnostic blood banking reagents is large and growing. The market, with approximately 30 million blood donations annually, is two and a half times the size of the U.S. market of 12 million donations."
Now that's a country that can use a few ABS units, a couple of ROSYS units and a whole lot of DIAS machines.
GO BLUD! nice move...
The Road to Shanghai
jerboa1
(39/M/Philadelphia, PA)
Sep 21 1998
8:31PM EDT
Technetx,
Shanghai connection clearly outlined as a long term project in Gamma's 10-K SEC filing dated June 29, 1998. Take a look!
sec.gov
Long-term Project
Shanghai Gamma Biologicals Co. Ltd., the company's 50/50 joint venture with the Shanghai Blood Center (SBC), though strictly long-term, is progressing through government requirements much more quickly than expected because of substantial support from SBC officials. In May 1998, we signed the contract and articles of association, two more steps in the approval process. So far, we have:
- - registered the Shanghai Gamma name and received a tax identification number;
- - submitted two plans for the interior construction for our full floor in the new Shanghai Blood Center;
- - developed the equipment list for items available locally and those that must be imported; and
- - started recruiting an American-trained business person to become general manager of the joint venture.
Additionally, the Shanghai Blood Center sent two people to Houston for a month to study business practices related to our industry and to profit-making ventures in general. We could begin limited shipments of bulk product from the joint venture as early as this fall. To date, we have shipped small amounts of finished reagents for the center's in-house evaluation and samples for its large customers. In all cases, Gamma's reagents were found to be of exceptional quality.
Our basis for the joint venture is that China has no manufacturer dedicated to producing a complete line of blood group typing reagents. The country does collect approximately 30 million blood donations annually, making it potentially the world's largest market for diagnostic reagent products.
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