Paris, January 2, 2013 – ELITech Group (“ELITech”) announces today the acquisition of 100% of the share capital of Vital Diagnostics Holding Corp. (“Vital Diagnostics”) from New River Management IV, LP and Third Security Staff 2001, LLC, both affiliates of Third Security, LLC, a US-based venture capital firm, and TeeTwo Nominees Pty Ltd.
Operating three manufacturing sites in the USA, Australia and Italy, Vital Diagnostics produces and distributes in vitro diagnostics equipment and reagents focusing on clinical chemistry and hematology. With products sold in over 100 countries, the company is a leading player in the US clinical chemistry market targeting physician’s offices, hospitals and small-to-medium sized laboratories, as well as a leading distributor of in vitro diagnostic analyzers and tests in Australia and New Zealand. In 2011, Vital Diagnostics achieved sales of US$32 million. More information is available at www.vitaldiagnostics.com.
Headquartered in Puteaux (Paris, France), ELITech is a leading independent manufacturer of in vitro medical diagnostics equipment and reagents. ELITech employs 500 people and has sales of
€102 million all over the world, with key subsidiaries in France, Italy, the United States, the Netherlands, the UK and Brazil. ELITech was created in 1997 and has grown through organic growth as well as various acquisitions which have positioned the company as a leader in niche applications in the fields of clinical chemistry, microbiology and molecular diagnostics. ELITech is focused on analyzers and reagents to small and mid-size laboratories and points of care. More information is available at www.elitechgroup.com.
Since December 2010, ELITech has been backed by Ergon Capital Partners (“Ergon”), as controlling shareholder.
Pierre Debiais, CEO of ELITech commented: “This is a strategically important step in the development of ELITech, strengthening our footprint in the US clinical chemistry market. In addition, the two companies are very complementary, both in terms of product ranges and geographical presence. The support of Ergon and our other shareholders was very valuable in the pursuit of this acquisition.”
Adrian Tennyenhuis, CEO of Vital Diagnostics stated: “I am pleased with the outcome of this transaction as it ensures that the company I founded, and which became part of Vital Diagnostics Holding Corp. in 2007, will continue to grow as part of ELITech. In addition to the increased presence this will give us in the US market, Vital Diagnostics will be strengthened internationally by the increased resources available from ELITech.”
Wolfgang de Limburg, Managing Director of Ergon Capital Advisors, added: “Ergon’s strategy is to invest in leading companies with sustainable competitive positions, solid management teams, and buy-and-build potential. ELITech combines all these elements, and the present acquisition represents an ideal add-on. Ergon is very enthusiastic to continue ELITech’s growth story with Vital Diagnostics.”
R.J. Kirk, Founder and Senior Managing Director of Third Security, highlights: “Although I am pleased with the accomplishments of Vital Diagnostics over the last several years, the moment had come to merge the company into a larger industry player. I wish Vital Diagnostics and ELITech all the best in the future.”
ELITech was advised by Jackson Walker and Studio Legale Calesella (Legal), and Mazars (Financial and Tax).
Vital Diagnostics was advised by Troutman Sanders LLP (Legal).
Ergon is a mid-market private equity investment company with €775 million under management backed by Groupe Bruxelles Lambert (GBL), which targets equity investment from €20 million up to €70 million in companies located in the Benelux, Italy, Iberia, France and Switzerland. To carry out its investment activity, Ergon is advised by Ergon Capital Advisors, an independent advisory firm with offices in Brussels, Paris, Milan and Madrid. Ergon’s investment philosophy is one of value creation in partnership with management, following an industrial strategy to generate long- term capital gains. Ergon deploys the industrial and conservative long-term vision of a successful family-controlled group (GBL). More information is available at www.ergoncapital.com.
Third Security is an independent, private venture capital investment firm with offices in Radford, Virginia, Palm Beach, Florida and San Francisco, California. The Third Security management team consists of life-science focused investment professionals dedicated to managing the risks and challenges of high growth, technology-driven businesses. More information is available at www.thirdsecurity.com.