Biotage to acquire MIP Technologies

“The combined capabilities within existing R & D organizations and production units will allow us to further profit on the current businesses but also to venture into new areas.”

Biotage AB (STO:BIOTA) a global leader in tools and technology for medicinal and analytical chemistry, and the owners of MIP Technologies AB today announced that the parties have signed a definitive agreement under which Biotage will acquire all outstanding shares in MIP Technologies, a privately held leading developer of molecularly imprinted polymers (MIPs) and other novel polymers.

MIP Technologies, located in Lund, Sweden is a company working at the boundary of chemistry and materials science. Founded in 2000, the company has developed ground breaking solutions for the separations field using proprietary Molecularly Imprinted Polymer (MIP) technology and other novel polymer chemistries. The company is currently providing state-of-the-art solutions for several multi-national blue chip customers in the food and beverage industries and develops front line analytical products for food, environmental, veterinary and pharmaceutical laboratories, including many of the top government central laboratories monitoring chemicals in food and health products

"This is an excellent strategic fit regarding Biotage's expansion and diversification into markets outside of pharma and it will certainly fuel our efforts within Sample Prep. One of our ambitions going forward is to further develop our Sample Prep business and to drive our consumables sales to get a more even balance between the sale of instruments and consumables." says Torben Jörgensen, Biotage AB President and CEO "The addition of MIP Technologies continues the advancement of our vision of complete solutions for the scientific community. We are very excited about the technology that will benefit our customers and fit perfectly with our product offering. MIP Technologies will bring outstanding competencies which strengthen our own and we have the experience, knowledge and resources they need to reach the global market."

"We are all very excited about joining the Biotage organization." says Anthony Rees, MIP Technologies CEO. "Our MIP and non MIP polymer technologies compliment Biotage's product offering and I'm especially thrilled that the direct and indirect sales, distribution and service from Biotage are world-class." says Rees "The combined capabilities within existing R & D organizations and production units will allow us to further profit on the current businesses but also to venture into new areas."

Under the terms of the acquisition, an upfront payment corresponding to an enterprise value for MIP Technologies of 16 MSEK will be made. In addition further payments based on sales performance will be made until the end of 2015. It is at this point in time not possible to assess the total amount of such payments. MIP Technologies has 17 employees and had a turnover of 13 MSEK in 2009. MIP Technologies will be consolidated in the Biotage group as of April 30, 2010.

Torben Jörgensen, CEO of Biotage, is via a company controlled by him, the owner of less than 5 % of the outstanding shares of MIP Technologies.