Wireless medical technology firm BioTelemetry has agreed to acquire clinical trial imaging solutions provider VirtualScopics.
BioTelemetry will start an all cash tender offer for all outstanding common and preferred shares of VirtualScopics.
Investors will be offered $4.05 per share for VirtualScopics’ common stock, $336.30 per share for the company’s Series A and Series B Convertible Preferred Stock and $920.00 per share for Series C-1 Convertible Preferred Stock. The total purchase consideration is about $15.5m.
The tender offer is anticipated to start on or about 11 April 2016. The transaction is expected to be completed in the second quarter of this year.
VirtualScopics has reported revenue of $12.7m for 2015. The addition of VirtualScopics’ imaging capabilities will further extend BioTelemetry’s clinical research offerings.
BioTelemetry president and CEO Joseph Capper said: "This acquisition demonstrates our continued commitment to growing our clinical research business.
"VirtualScopics possesses an excellent scientific and operational reputation and we look forward to building upon their longstanding relationships with their customers."
BioTelemetry offers cardiac monitoring services, original equipment manufacturing with a primary focus on cardiac monitoring devices and centralized cardiac core laboratory services.
The company has reported a 7.1% increase in its revenue to $46.8m for the fourth quarter 2015, compared to $43.7m in the year-ago period.
Gross profit for Q4 increased to $28.3m, compared to $24.5m for the fourth quarter 2014.
Image: BioTelemetry has agreed to acquire VirtualScopics. Photo: courtesy of stockimages/FreeDigitalPhotos.net.