NEW YORK, June 6 – In the first joint sale announced since their $5.5 million legal settlement, Genomic Solutions and PerkinElmer said Wednesday they had sold the GeneTac biochip system to the Indian Institute of Science in Bangalore, India.
The institute will use one component, the G3 Library Management System for colony picking, arraying, gridding, and replicating DNA microarrays. The GeneTac HybStation will be used to hybridize microarrays, and the GeneTac LS IV laser imager will scan arrays for image analysis.
PerkinElmer Life Sciences, which is Genomic Solutions’ exclusive distribution partner for markets outside the US and Japan, led the sale of the system to the Indian Institute.
"We see the sale of our systems in India as an initial indicator of how PerkinElmer and Genomic Solutions will work together seamlessly in the future to meet the needs of genomic and proteomic researchers wherever they are in the world," Genomic Solutions' CEO Jeffrey Williams said in a statement.
This sale follows Genomic Solutions and PerkinElmer’s April 19 settlement of a lawsuit that fundamentally changed the nature of the companies’ long-standing relationship.
In the settlement, Genomic Solutions granted UK distribution rights of its products to PerkinElmer, and agreed to buy back 69 percent of PerkinElmer’s 5.2 percent equity stake in the company for $5.5 million, terminating PerkinElmer’s call right to shares and control of Genomic Solutions stock.
The right, which PerkinElmer acquired under Genomic Solutions’ terms of incorporation, gave PerkinElmer an option to become the sole shareholder in Genomic Solutions. PerkinElmer had initiated the lawsuit back in February, alleging that Genomic Solutions’ proposed transaction with an unnamed third party, which analysts said amounted a merger agreement, would effectively eliminate PerkinElmer’s call right.
Genomic Solutions said in a conference call shortly after the settlement that its first-quarter revenues had been hurt due to weak sales in Europe and Asia, where PerkinElmer has been its distribution partner.
But Williams assured investors that a stronger distribution agreement it had forged with Perkin Elmer, which includes minimum requirements on sales, would help to ameliorate these problems.