PALO ALTO, Calif.--Dispelling industry rumors that Molecular Applications Group is up for sale, Debbie Yu, acting CEO, said the company is seeking partnerships, but not a buyer. "MAG is definitely not on the block, but we are pursuing conversations with a number of strategic players because it is a cornerstone of our business plan to do that," Yu said. Rumors about the company's financial health heated up recently after John Andrews, executive vice-president and chief operating officer, departed from the company.
"I hear the same rumors," Yu said, "but we have not hired a bank to sell the company, we have not made any strategic efforts to sell, we have a CEO search under way, and we are planning to do another round of financing to raise $5-$10 million in the next few months. These are things you do when you're keeping a company going."
Still, Yu acknowledged, "You can never say never. Most companies in our space will either die or merge. Very few bioinformatics companies are ever going to go public."