Cytomyx sells subsidiary to Serologicals for $7 million

By Lisa Kerner

Erie, Pa., March 14 - Cytomyx Holdings plc announced the conditional sale of its subsidiary Cytomyx Ltd. to Serologicals UK Holding Co. Ltd. for $7 million in cash.

The proceeds will be reserved for the repayment of outstanding loans to Cytomyx and used for working capital, according to a company news release.

Following the sale, Cytomyx said it will focus on providing the pharmaceutical industry with high-quality human tissue samples through Cytomyx LLC, its biorepository business based in Massachusetts.

"Following a strategic review by the board, we believe that the disposal of Cytomyx Ltd. is in the best interests of shareholders," Cytomyx chief executive officer Mike Kerins said in the release.

"The disposal will strengthen the company's balance sheet and allow us to focus on our U.S. biorepository business, which is already working with many of the world's leading pharmaceutical companies and which has significant potential for growth."

"We are excited to bring the Cytomyx Ltd. expertise into our company," Serologicals president and chief executive officer David A. Dodd said in the release.

"We anticipate that this acquisition will further strengthen our capabilities within the drug discovery market by enabling our research segment to offer pharmaceutical and biotechnology companies the largest portfolio of ion channel cell lines commercially available today."

The acquisition will enable Serologicals to expand its drug discovery offerings to include G protein-coupled receptors, kinases, and ion channels, officials said.

Cytomyx Holdings is a life science company based in Cambridge, U.K.

Serologicals, based in Atlanta, develops and commercializes consumable biological products for biological research, drug discovery and the bioprocessing of life-enhancing products.

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