IBEX Technologies Inc. has announced that it has acquired Bio-Research Products Inc. ("BRP"), an Iowa-based maker of specialized reagents.
BRP specializes in the production of enzymes, lectins, protease inhibitors, organics, substrates and assay solutions for diagnostic, industrial and research use. Manufacturing is conducted in 10,000 sq. ft. facility with fermentation capability up to 300L.
BRP was founded by Dr. Bryce Cunningham in 1975 and employs 12 people in North Liberty, Iowa.
BRP will operate as a wholly-owned subsidiary of IBEX and will retain the Bio-Research Products name.
"We are extremely pleased to have been able to acquire a company so complementary to our current business" said Paul Baehr, President and CEO of IBEX.
Baehr continued, "In addition to an expanded product line of enzymes, BRP brings an excellent manufacturing facility with a skilled professional staff including expert scientists in protein purification, characterization and analysis".
Dr. Bryce Cunningham, President and Founder of BRP, said "After having spent so many years building the company, I am happy to see, for the sake of our employees and our customers, that BRP will find a home with a company like IBEX, which shares our values and our aspirations".
The shareholders of BRP will receive US$2,000,000 in cash and future earn out to a maximum of US$700,000). IBEX funded the acquisition from its cash reserves, but expects to obtain a mortgage of approximately US$1,000,000 on BRP's land and buildings, for a net IBEX outlay of US$1,000,000 in cash for the acquisition.
IBEX expects that the acquisition will have no impact on its fiscal 2013 earnings, but should be accretive in fiscal 2014.