NEW YORK, March 12 (GenomeWeb News) - Paradigm Genetics has closed its acquisition of TissueInformatics, the company said yesterday.
Paradigm will issue approximately 3.4 million shares of its common stock to TissueInformatics shareholders immediately, valued at about $4.5 million, based on yesterday's closing price of Paradigm. Depending on whether TissueInformatics reaches certain revenue targets and obtains new research contracts before the end of the year, Paradigm will offer shareholders another 2.7 million shares.
In addition, Paradigm will assume all of TissueInformatics' outstanding options and warrants, equivalent to approximately 385,000 shares of Paradigm's common stock if TissueInformatics reaches its milestones. All shares will be locked up for one year after the date of closing.
Paradigm, based in Research Triangle Park, said it will maintain TissueInformatics' facility in Pittsburgh, Pa. Following the acquisition, first announced in January, Paradigm has 212 employees in total.