Techne To Acquire Shanghai PrimeGene Bio-Tech - Quick Facts

(RTTNews) - Techne Corp. (TECH) (d/b/a Bio-Techne) announced that its R&D Systems China Co. Ltd. subsidiary has entered into an agreement to acquire 100% of the ownership interest of Shanghai PrimeGene Bio-Tech Co.

The PrimeGene ownership interest will be acquired for cash, subject to adjustment following closing based on the final level of working capital of PrimeGene.

The transaction is expected to close in the fourth quarter of fiscal 2014, subject to the satisfaction of certain closing conditions. The acquisition is not subject to any financing contingencies.

PrimeGene and R&D China will collectively operate under the leadership of Managing Director Wendy Shao after close of the transaction.

PrimeGene was founded in 2006 and is based in Shanghai, China. PrimeGene is a developer, manufacturer and distributor of recombinant proteins for research and diagnostic applications.

PrimeGene had product sales of approximately $4 million in calendar 2013 and, therefore, the acquisition will not have a material effect on Bio-Techne's fourth quarter fiscal year 2014 or fiscal 2015 sales.

Charles Kummeth, President and Chief Executive Officer of Bio-Techne, said, "We are delighted to add the PrimeGene team to the Bio-Techne family. The PrimeGene business expands our regional manufacturing capabilities, creating more critical mass for our rapidly growing China business and complements our existing product portfolio by adding over 400 new protein products."

PrimeGene General Manager, Wang Huisheng, will continue to serve as General Manager of PrimeGene following the closing.