NEW YORK, April 25 (GenomeWeb News) - Canadian firm Warnex said today that it has agreed in principle to acquire genetic testing service provider PRO-DNA Diagnostic for $2 million.
The purchase price is divided into $1.2 million in cash, approximately $200,000 to $300,000 in working capital adjustments, and $500,000 payable in common shares of Warnex, the company said.
"The acquisition of PRO-DNA will mark our entry into the field of human genetics testing and pharmacogenomics," Mark Busgang, president and CEO of Warnex, said in a statement.
PRO-DNA had $870,000 in revenues in its last fiscal year and is expected to be immediately accretive to earnings, Warnex said. It will operate as a division of Warnex Medical Laboratories and will be relocated from Montreal to the Warnex facilities in Laval, Quebec.