NEW YORK (GenomeWeb News) – Abbott has invested a second $20 million in pathogen detection developer Ibis Biosciences, upping its stake in the company to 18.6 percent, Ibis parent firm Isis Pharmaceuticals said today.
The agreement follows a $20 million investment that Abbott made in January that gave it a 10.25 percent stake in the firm.
Ibis plans to use the cash to develop its T5000 Biosensor System, a system for rapidly identifying and characterizing infectious agents, including pandemic diseases, emerging or previously unknown pathogens, and hospital-acquired infections.
Abbott retains the exclusive option to purchase the remaining equity in Ibis for an additional $175 million to $190 million through June 30, 2009.
If Abbott purchases Ibis, it will owe Isis earn-out money related to certain sales.
"We are aggressively accelerating the expansion of our commercial products into larger market opportunities, and this recent financing from Abbott will provide the capital to continue on this path," said Ibis president Michael Treble in a statement.