Published on March 12, 2010 at 1:51 AM
Laxai Pharma, Ltd. (f/k/a NexGen Biofuels, Ltd.) (OTCBB:NXGNF) today announced that it has completed its first acquisition in the clinical research services space by purchasing all of the assets of OSR Solutions, Inc. ("OSR"), a New Jersey based contract research organization ("CRO"), for $3.6 million consisting of the following: $1.5mm in cash, $0.75mm in notes, $0.60mm in assumed liabilities, and 5.6mm common shares of Laxai Pharma, Ltd. -- about 10% of the issued and outstanding common shares at closing. The acquisition was financed by a combination of debt and equity.
Laxai Pharma's Chairman and CEO, Ram Ajjarapu, commented, "We hope that this platform acquisition of OSR is only the first in a line of targets we have mapped out in our business plan. We are excited about the excellent client base, the strong financial performance and the broad range of skills of the OSR team. We are also extremely pleased that Vamsi Maddipatla, OSR's President and founder and Naren Mallakunta, OSR's CEO and well-seasoned CRO executive, are 100% committed to our plan and in helping us accelerate the growth of Laxai Pharma into a substantial player in the CRO marketplace."
Mr. Maddipatla added, "When Ram approached me with the opportunity to combine forces, I was extremely enthusiastic. There is clearly an opening for a smart, highly motivated company with a strong team to rapidly build market share organically and by acquisition both in the US and overseas."
Source Laxai Pharma, Ltd.
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