SOURCE: Cyprotex Plc

January 02, 2014 07:12 ET

Acquisition of CeeTox

MACCLESFIELD, UK--(Marketwired - Jan 2, 2014) -

2 January 2014

         Cyprotex acquires business and assets of CeeTox, Inc

        Broadens toxicological assay and screening capabilities
              to the cosmetic and personal care industry

Cyprotex PLC (AIM: CRX), a specialist ADME-Tox Contract Research
Organisation, today announces the acquisition of the business and
assets of CeeTox, Inc, ("CeeTox") a division of North American Science
Associates, Inc ("NAMSA").

CeeTox, based in Kalamazoo, MI, USA, is a Contract Research
Organisation specialising in the provision of in vitro toxicological
assays and screening data, principally to the Cosmetic and Personal
Care Industries. Founded in 2003, CeeTox was acquired in 2005 by
NAMSA, a medical research organisation supplying expert consulting,
clinical and laboratory services to medical device, IVD and biologics
manufacturers. NAMSA retains a license for applying CeeTox's in vitro
toxicology expertise to medical device testing. CeeTox had sales of
approximately GBP2.3 million in the year ended 30 September 2013 and 
made an operating loss of approximately GBP0.9 million. The initial
consideration for the purchase of GBP0.63 million is funded by internal
cash resources, with a further consideration of 5% payable on specified
net sales achieved in the next four years to a maximum of GBP3.1 
million.The purchase is made by the group's US trading subsidiary,
Apredica,LLC. The impact of the acquisition is expected to be earnings 
neutral in the first year.

It is expected that Cyprotex will continue to operate the CeeTox
business from its Kalamazoo location for a period of time prior to
relocation of the business and assets to Cyprotex's US base in
Watertown, MA.

Commenting on the acquisition, Dr Anthony Baxter, CEO of Cyprotex,
said: "The acquisition of CeeTox and its world-respected in vitro
toxicology assays affords Cyprotex the opportunity to grow revenues
significantly. Principally, it enables the Company to offer a more
complete assay and screening service to the Cosmetics and Personal Care
Industry, already an expanding customer segment, and will materially
extend the Company's footprint in its established core Pharmaceutical
and Agrochemical industry markets."The innovative assays and screens that CeeTox has developed over its
10-year life are complementary to our existing comprehensive platform.
In particular, we are excited by the potential for selling the
Endocrine Disruptor Screening Programme (EDSP) service to both current
Government agency customers and to industrial chemical companies."

Mr. Tim Mitchell, CEO of CeeTox, added: "We are delighted that, in
acquiring the CeeTox business, Cyprotex is committed to both
maintaining our reputation for innovative high quality science and to
growing our existing customer base. The combination of our two
businesses represents an outstanding opportunity to leverage our
capabilities and capitalise on the enormous market potential across a
variety of industries that require in vitro toxicity screening

For further information:

Cyprotex PLC                                 Tel: +44 (0) 1625 505 100
Dr Anthony Baxter, Chief Executive Officer 
John Dootson, Chief Financial Officer 
Mark Warburton, Chief Operating Officer and
Legal Counsel

N+1 Singer (Nomad and broker to Cyprotex)    Tel: +44 (0)20 7496 3000
Shaun Dobson                         
Jenny Wyllie                         

FTI Consulting                               Tel: +44 (0) 20 7831 3113
Simon Conway                         
Mo Noonan                            

Notes to Editors

About Cyprotex PLC

Cyprotex is based in Macclesfield, near Manchester in the UK, and
Watertown, MA in the US and is listed on the AIM market of the London
Stock Exchange (CRX). The company was established in 1999 and works
with more than 800 partners ranging from small biotech's to large
pharma companies. Cyprotex acquired Apredica and the assets of
Cellumen, Inc. in August 2010 and the combined business provides
support for a wide range of experimental and computational ADME-Tox and
PK services, extending from early drug discovery through to IND
submission. The company's core capabilities include high quality in
vitro ADME screening services, mechanistic toxicology and high content
toxicology screening services, including our proprietary CellCiphr®
toxicity prediction technology, and predictive modelling using PBPK and
QSAR techniques, including Cloe® PK for in vivo PK prediction. For 
more information, see .

                    This information is provided by RNS
          The company news service from the London Stock Exchange


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