WALTHAM, Mass. (AP) - Health and industrial sciences company PerkinElmer Inc. said Monday it's acquiring biotechnology company ViaCell Inc. for approximately $300 million to expand its product line.
The company will buy all of Cambridge, Mass.-based ViaCell's outstanding common stock in a cash tender offer worth $7.25 per share. The offer is a 52 percent premium over ViaCell's closing stock price of $4.77 on Monday.
As of Aug. 7, ViaCell had more than 38.8 million shares of outstanding stock.
PerkinElmer said the deal is valued about $300 million, or $260 million net of cash.
PerkinElmer said the addition of ViaCell's ViaCord product, which preserves umbilical cord blood, is expected to expand the company's product offerings and reach in neonatal and prenatal markets. ViaCord sales are expected to be in the mid- to high- $60 million range in 2007.
The company expects the deal to decrease its 2008 adjusted earnings per share and add to its 2009 adjusted earnings per share, but didn't specify by how much.
Pending regulatory approval, the transaction is expected to close in the fourth quarter of 2007.
Copyright 2007 Associated Press. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.