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Pharmaceutical industry

QIAGEN Expands Position in Synthetic Probes, Synthetic Genes, and DNA Microarray Technologies

Strategic Insights

— 2 min read

QIAGEN has announced the acquisition of Operon Technologies, a leading provider of synthetic DNA, synthetic genes, and DNA microarray tools. The acquisition expands QIAGEN's presence in the synthetic probe market, a rapidly growing area of nucleic acid research and genomics. Operon Technologies has built a strong reputation for its high-throughput DNA synthesis technology, allowing for the manufacture of synthetic nucleic acids at unparalleled speed, cost, and quality.

Key Takeaways:

  • QIAGEN has acquired Operon Technologies, a leading provider of synthetic DNA, synthetic genes, and DNA microarray tools.
  • The acquisition expands QIAGEN's presence in the synthetic probe market, a rapidly growing area of nucleic acid research and genomics.
  • Operon Technologies has developed a high-throughput DNA synthesis technology, allowing for the manufacture of synthetic nucleic acids at unparalleled speed, cost, and quality.
  • The Alameda manufacturing site is projected to reach an output of 150,000 synthetic nucleic acids per day by the end of 2001.
  • Operon Technologies recorded revenues of $13.3 million and net income of approximately $1.3 million in fiscal 1999.
  • The company expects to exceed $20 million in net sales for the fiscal year 2000, which ends December 31, 2000.
  • The transaction is expected to be completed in the second or third quarter of 2000 and is intended to qualify as a tax-free reorganization.
  • QIAGEN expects to issue approximately 715,000 shares of its common stock (valued at approximately $110 million) in exchange for all of the outstanding capital stock of Operon Technologies.

Statistics:

  • $13.3 million: Operon Technologies' revenue in fiscal 1999 (Source: Operon Technologies)
  • $1.3 million: Operon Technologies' net income in fiscal 1999 (Source: Operon Technologies)
  • 715,000: Number of shares of QIAGEN's common stock to be issued in exchange for all of the outstanding capital stock of Operon Technologies (Source: QIAGEN)
  • $110 million: Value of the shares issued in exchange for Operon Technologies (Source: QIAGEN)
  • 150,000: Output of synthetic nucleic acids per day by the end of 2001 at the Alameda manufacturing site (Source: Operon Technologies)

Sources:

  • PRNewswire: "QIAGEN N.V. (Nasdaq: QGENF; Frankfurt, Neuer Markt: QIA (901626); Easdaq: QGEN) today announced it has entered into a definitive agreement to acquire Operon Technologies, Inc., a recognized leader in the area of high-end and added-value synthetic DNA..."
  • Operon Technologies: "Operon Technologies, Inc. was established in 1986 and employs today over 100 people at its facilities in Alameda, California."
  • QIAGEN: "QIAGEN N.V., a Netherlands holding company with subsidiaries in Germany, the United States, Japan, the United Kingdom, Switzerland, France, Italy, Australia, and Canada, believes it is the world's leading provider of innovative enabling technologies and products for the separation, purification, and handling of nucleic acids."

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