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Emergent BioSolutions To Acquire HPPD Division Of Bracco Diagnostics

By RTTNews Staff Writer   ✉  | Published:  | Google News Follow Us  | Join Us
rttnewslogo20mar2024

Emergent BioSolutions, Inc. (EBS) Thursday said it has entered into an asset purchase agreement to acquire the Healthcare Protective Products Division or HPPD of Bracco Diagnostics Inc. It is an all cash transaction that includes payment of $26.0 million upon closing. Emergent expects the acquisition to contribute to revenue and net income, exclusive of transaction costs, beginning in 2013. Riding on the deal, the firm backed its full-year revenue guidance of $290 to $310 million and net income view of $20 to $30 million. The company also reiterated its first quarter revenue guidance of $40 to $50 million.

The company said it expects the acquisition to diversify and expand its biodefense franchise by adding product sales from HPPD's marketed chemical countermeasure, RSDL.

The acquisition of HPPD, which is subject to customary closing conditions, is expected to close in the third quarter of 2013. Post closing of the transaction, the company is expected to assume responsibility for an existing 5-year procurement contract with the U.S. Department of Defense to provide RSDL to active military personnel, as well as a supply agreement with NATO that allows NATO countries to purchase RSDL through the NATO Support Agency through 2015, with up to two additional option years.

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