NEW YORK – Mesa Laboratories said on Tuesday that it has acquired mass spectrometry-based genetic analysis firm Agena Bioscience for $300 million in cash.
The deal is expected to close during Mesa's third fiscal quarter, which ends Dec. 31. It will be financed through a combination of cash on hand and proceeds from Mesa's credit facility, the company said in a statement.
Agena is expected to add between $63 million and $67 million to Mesa's revenues during the first year of ownership, excluding COVID-19-related revenues. Mesa, based in Lakewood, Colorado, said approximately 65 percent of that revenue is expected to be recurring and that the acquisition will likely deliver high single digit percent organic revenue growth.
San Diego-based Agena is also expected to add another $3 million to $5 million of COVID-19-related revenues during the first year of ownership, Mesa said, although the COVID-19 revenues will likely tail off significantly after that first year.
Agena received Emergency Use Authorization from the US Food and Drug Administration for its five-test SARS-CoV-2 panel in October.
"Agena brings an innovative approach to the challenges of clinical genomics," Mesa CEO Gary Owens said in a statement. "Their MassArray system is a proven platform which integrates the best of mass spectroscopy and multiplex PCR, providing a unique combination of sensitivity, cost effectiveness, fast turnaround time, ease of use, and flexibility."
"These benefits strongly address the needs of clinicians to apply patient-specific genomic information to make personalized treatment and monitoring decisions," he said.
Agena was founded in 2014 when Sequenom sold its bioscience business, with its flagship MassArray platform, for $31.8 million.