Bio-Techne Corp. will pay at least $215 million for a Texas company known for its screening technology for the fragile X carrier test and another kit that monitors leukemia patients for minimal residual disease.
Asuragen, based in Austin, also has other genetic carrier and oncology test kits in the pipeline, according to a news release on the deal. If Asuragen meets certain milestones, Bio-Techne could owe up to $105 million more under the deal that is expected to close by the end of June.
Asuragen's headquarters includes a scalable, 50,000-square-foot manufacturing facility as well as a laboratory, according to the release. The company had $30 million in revenue last year.
Matt McManus, Asuragen's CEO, will join Bio-Techne's management team, leading both Asuragen's business and the integration process.
"The Asuragen team is extremely excited to be joining Bio-Techne at this point in our growth trajectory," McManus said. "Bio-Techne's global presence, reputation and relationships within the clinical diagnostic and research communities will enable Asuragen to broaden our reach and accelerate penetration into the high-growth molecular diagnostic markets addressed by our portfolio."
Bio-Techne, which makes tools and test reagents for biological research and clinical tests, said it sees several growth opportunities with Asuragen, including the company's proven track record of navigating the "global regulatory environment," and commercialization and broader market adoption of products.
"This critical mass will be very beneficial to [Bio-Techne's] Genomics and Diagnostics Segment as we commercialize our pipeline of liquid biopsy tests … and also opens the possibility of approaching the market with kitted versions of these products," said Chuck Kummeth, Bio-Techne's CEO, in the release.