Navigation Links
MDS Announces Strategy to Focus MDS Pharma Services on Early Stage Operations - Discovery Through Phase IIa
Date:6/1/2009

    Company to Divest Late Stage Operations, Signs Agreement to Sell
    Phase II-IV Operations to INC Research

TORONTO, June 1 /PRNewswire-FirstCall/ - MDS Inc. (TSX: MDS; NYSE: MDZ), a leading provider of products and services to the global life sciences markets, today announced that it will strategically focus its MDS Pharma Services business on the delivery of Early Stage (Discovery through Phase IIa) contract research organization (CRO) services.

The Company intends to sell its MDS Pharma Services Late Stage operations, which are comprised of Phase II-IV operations and Central Labs. MDS has signed an agreement to sell its Phase II-IV operations to INC Research, Inc., a leading global provider of CRO services, for $50 million, including certain transition services, and subject to customary post closing contingencies and adjustments. A suitable buyer is being sought for Central Labs.

These decisions are a result of MDS's ongoing strategic review process. They will support the Company's efforts to advance its leadership position in the delivery of Early Stage CRO services, where it has a top-three market position.

"We are taking action to enhance shareholder value by focusing our business portfolio on areas where we believe we can expand market leadership," said Stephen P. DeFalco, President and Chief Executive Officer, MDS Inc. "While our investments in MDS Pharma Services' Late Stage have significantly strengthened the business, further success requires greater scale. By divesting our Phase II-IV operations, we will be better able to take advantage of our core competencies in Early Stage. We believe this will prove beneficial to the success of the business, to customers and to shareholders."

Phase II-IV

Under the terms of the agreement, INC Research will acquire MDS Pharma Services' Phase II-IV operations, which includes approximately 800 employees who conduct large, multi-site clinical trials in more than 25 countries.

"We extend a warm welcome to the clients and employees of MDS Pharma Services Phase II-IV business," said Jim Ogle, Chief Executive Officer, INC Research. "This acquisition reinforces our long-standing commitment at INC Research to continuously improve service in areas most important to our customers - therapeutic expertise, talent and experience, and a broader geographic footprint."

The transaction is expected to close in the third quarter of the MDS 2009 fiscal year, and is subject to customary approvals and closing conditions. In addition, the sale of the Company's Phase II to IV operations in France, are subject to review and consultation with the applicable Works Council in accordance with French labor laws.

Central Labs

As a result of its strategic focus on Early Stage CRO services, the Company intends to sell MDS Pharma Services' Central Labs. Central Labs conduct analysis of samples from clinical trials to monitor safety and to test for physiological impact. This operation has more than 600 employees at six sites in Europe, North America and Asia. Its proprietary, industry-leading Apollo study-management system offers clients real-time access to study data from around the world.

As MDS exits Late Stage operations, the Company anticipates a smooth transition for clients and remains focused on meeting client needs.

More Information about Today's Announcement

Additional background materials pertaining to today's announcement can be found on MDS Inc.'s Website at www.mdsinc.com/for_media/electronic_media_kit.asp

Caution Concerning Forward-Looking Statements

This document contains forward-looking statements. Some forward-looking statements may be identified by words like "believes", "expects", "anticipates", "plans", "intends", "indicates" or similar expressions. The statements are not a guarantee of future performance and are inherently subject to risks and uncertainties. MDS's actual results could differ materially from those expressed in the forward-looking statements due to these risks and a number of other factors, including, but not limited to, successful completion of the aforementioned divestitures, successful implementation of structural changes, including restructuring plans and acquisitions, technical or manufacturing or distribution issues, the competitive environment for MDS's products and services, the degree of market penetration of its products and services, the ability to secure a reliable supply of raw materials, the impact of our clients' exercising rights to delay or cancel certain contracts, the strength of the global economy, the stability of global equity markets, the availability and cost of financing, the impact of the movement of the U.S. dollar relative to other currencies, particularly the Canadian dollar and the euro, uncertainties associated with critical accounting assumptions and estimates, and other factors set forth in reports and other documents filed by MDS with Canadian and U.S. securities regulatory authorities from time to time, including MDS's quarterly and annual MD&A, Annual Information Form, and Annual Report on Form 40-F for the fiscal year ended October 31, 2008 filed with the U.S. Securities & Exchange Commission.

About MDS

MDS Inc. (TSX: MDS; NYSE: MDZ) is a global life sciences company that provides market-leading products and services that our customers need for the development of drugs and diagnosis and treatment of disease. We are a leading global provider of pharmaceutical contract research, medical isotopes for molecular imaging, radiotherapeutics, and analytical instruments. MDS has more than 5,000 highly skilled people in 29 countries. Find out more at www.mdsinc.com or by calling 1-888-MDS-7222, 24 hours a day.


'/>"/>
SOURCE MDS Inc.
Copyright©2009 PR Newswire.
All rights reserved

Related medicine news :

1. HHS Announces $75 Million in Supplemental Funding to States for Pandemic Flu Preparedness
2. CRC Health Group Announces Acquisition of Bayside Marin Recovery Center, San Rafael
3. UHW Announces: Antelope Valley Hospital Caregivers and Board Vote to Ratify First Union Contract With SEIU UHW-West
4. HEI, Inc. Announces Sale of RFID Division Assets
5. Caraco Pharmaceutical Laboratories, Ltd. Announces FDA Approval to Market Generic Version of Zyloprim(R)
6. Mettler-Toledo International Inc. Announces Webcast of Presentation at Thomas Weisel Partners 2007 Healthcare Conference
7. Z Trim Announces Revocation of Gregory Halpern Severence Agreement
8. Brooke Franchise Corporation Announces Selected July Results
9. Manor Care, Inc. Announces Record Date for Special Stockholder Meeting
10. Caraco Pharmaceutical Laboratories, Ltd. Announces FDA Approval to Market Generic Version of Adipex-P(R)
11. Planet Technologies Announces Agreement to Acquire Antigen Laboratories
Post Your Comments:
*Name:
*Comment:
*Email:
(Date:3/27/2017)... ... 27, 2017 , ... Advantexe Learning Solutions , a ... a new research study, The Business Readiness Report. The report explores the correlation ... the actual success of achieving individual and company goals. , There are ...
(Date:3/27/2017)... ... 27, 2017 , ... Janet Schloz is still in shock after receiving a $2,500 Academic Award ... a long time,” she said. , She thinks the coming week is going to be ... I would have to help my students.” , The award will allow the 4th grade ...
(Date:3/27/2017)... Mt. Angel, Oregon (PRWEB) , ... March 27, ... ... supplements company, is pleased to announce the launch of a months-long rebranding effort. ... exciting new formulations. , “Through focus group discussions and market research, we learned ...
(Date:3/27/2017)... ... 27, 2017 , ... The homeowner improvement and repair market is expected to ... unlicensed contractors for renovations is also on the rise. Per a 2017 report, 13% ... those, 42% failed to use a licensed contractor.(2) The risks associated with improper renovations—especially ...
(Date:3/25/2017)... ... 25, 2017 , ... Norland at Swissray is pleased to announce the release of ... The ELITE DXA has an active scan window, which is more than double that of ... the scan area could not undergo an accurate total body bone density or body composition ...
Breaking Medicine News(10 mins):
(Date:3/27/2017)... - INVICTUS MD STRATEGIES CORP. ("Invictus MD" or the "Company") ... pleased to announce it has received conditional approval to ... Venture Exchange.  Receiving the conditional listing ... achievements for Invictus-MD. Some of which include: ... Inc. ("AB Labs"), a Licensed Producer under the Access ...
(Date:3/27/2017)... 2017  BERG, a biopharmaceutical company uncovering ... approach, today announced that the company,s Interrogative ... new data using a cold-induced model to ... Joslin Diabetes Center led the investigation with ... analysis of samples.  The findings were published ...
(Date:3/27/2017)... , March 27, 2017  iCAD (Nasdaq: ICAD), ... solutions and radiation therapy for the early identification ... Tomo Detection received Premarket Approval (PMA) from the ... Detection is a first-of-its-kind, concurrent-read computer aided detection ... the latest innovation available on the PowerLook® Breast ...
Breaking Medicine Technology: