US-based Cancer Genetics acquires Ventureast-backed BioServe India
US-based Cancer Genetics Inc (CGI), a NASDAQ-listed company that provides DNA-based diagnostics, has acquired Hyderabad-based BioServe Biotechnologies (India) Pvt Ltd, providing genomic and molecular services, for around $1.9 million in an all-stock transaction.
“With BioServe, CGI will become better positioned to increase our global presence in personalised cancer care and further improve outcomes and lower costs for cancer patients,” said Panna Sharma, CEO of Cancer Genetics.
According to the release, the transaction is expected to close during the third quarter of 2014 and is subject to customary closing conditions and government approvals in India.
Post transaction BioServe India will become a subsidiary of CGI and will be renamed as Cancer Genetics India Pvt Ltd. CGI will retain all 33 employees of the company and will expand its operations in India.
“We share the belief that genomic services, next-generation sequencing and personalised diagnostics have tremendous potential in the country and can grow multi-fold in the coming years,” said Venkatadri Bobba, General Partner at Ventureast.
This will also mark an exit for Ventureast which had previously invested in the company through its Biotechnology Venture Fund. This fund invests in sectors like biotechnology, pharmaceuticals and agriculture and ancillary industries.
Apart from BioServe India, it has invested in companies like pharmaceutical products distributor Evolva Biotech, healthcare service company Cecilia Healthcare, novel therapeutics for cancer treatment manufacturer Marillion Pharma and organic products retailer Sresta Natural, among others.
BioServe India, which provides genotyping and DNA synthesis, counts organisations like Dr. Reddy’s, Indian Institute of Science Education & Research and the Centre for Cellular and Molecular Biology as its clients.
After this acquisition, BioServe India will integrate CGI’s DNA probe manufacturing proprietary FHACT test into the market which accounts for more than 25 per cent of global deaths due to cervical cancer.
According to a report by American Cancer Society, global cancer costs are expected to reach $458 billion by 2030.
(Edited by Joby Puthuparampil Johnson)
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Cancer Genetics Inc. is a deoxyribonucleic acid (DNA) based cancer diagnostics and services company. It is engaged in providing personalized medicine, offering diagnostic products and services that enable precision medicine in the field of oncology. The firm provides treatment for cancers like hematological, urogenital and human papillomavirus (HPV) associated cancers and offers a comprehensive range of non-proprietary oncology-focused tests and laboratory services. The firm offers biomarker solutions, genomics, pharmacogenomics, integrated biorepository and consulting services. The company was founded in 1999 and is based in New Jersey, United States of America.
Bioserve Biotechnologies India Pvt. Ltd. is a biotechnology company. It offers comprehensive genomics services platform which helps researchers to gain the pre-clinical data for breakthroughs in drug discovery, molecular diagnostics and pharmacogenomics. The firm assists researchers to identify genetic markers, validate drug targets and correlate clinical data with molecular data to accelerate the development of new and safer drugs. It also provides services from nucleic acids processing, deoxyribonucleic acid synthesis, high throughput sequencing and genotyping, genome wide-scans and gene expression analyses to ready-made large epidemiologically sound case-control studies of inflammatory disorders, endocrine disorders, cardiovascular disease, diabetes, hypertension, obesity and many cancers. The company was founded in 1989 and is based in Hyderabad, Telangana, with additional office in Maryland, United States of America.