Mpls. Bio-Tech Firm Buys California Company For $300M
Techne Corporation, the Minneapolis-based biotechnology company that now does business under the “Bio-Techne” brand, announced Tuesday that it’s acquiring a protein analysis company for $300 million.
Bio-Techne, one of Minnesota’s 50 largest public companies, is a holding company for two major businesses: Minneapolis-based Research and Diagnostic Systems, Inc., and England-based R&D Systems Europe, Ltd.—both of which develop and manufacture biotech products and clinical calibrators and controls.
Part of Bio-Techne’s business is developing and manufacturing purified proteins that are sold to biomedical researchers and clinical research laboratories, and Santa Clara, California-based ProteinSimple develops and sells systems that help analyze proteins.
ProteinSimple’s primary customers are pharmaceutical and bio-tech companies, which is similar to the customer base that Bio-Techne serves. The acquisition is expected to close around July 31.
ProteinSimple has more than 200 employees. In addition to its headquarters in California, it has manufacturing operations in Canada and sales offices in Japan and China. For its fiscal year that ended May 31, the company said it generated $57.1 million in revenue and $7.9 million in profits, which it said were both up 30 percent from 2013.
“This collaboration offers numerous possibilities for creating full protein analysis solutions, with an emphasis on purity and identification which will be extremely useful for our customers,” Bio-Techne CEO Charles Kummeth said in a statement. “This business adds significant benefits by expanding our sales force and signals our desire to participate as an innovative force in the laboratory instruments space, to better leverage our consumables business of high quality reagents.”
ProteinSimple will become a division of Bio-Techne and its CEO, Tim Harkness, will remain its leader; the rest of the company’s executive team will stay on too.
“Strategically, the fit is excellent. Both ProteinSimple and Bio-Techne have a desire to improve life science research by providing customers with the best possible tools and reagents,” Harkness said in a statement. “The combined business will represent a one-stop-shop for our customers and position us well to compete in the global market.”
Bio-Techne generated about $311 million in revenue in 2013 and has more than 1,000 employees worldwide. In April, the company also showed interest in a Connecticut-based bio-tech company called CyVek, Inc., when it invested $10 million in the company and announced plans to possibly acquire it.