Clinical Data Announces Reorganization to Emphasize Core Pharmacogenomics Business
News Jan 23, 2006
Clinical Data, Inc. has announced that it is reorganizing into two operating divisions to be known as Clinical Data Molecular and Vital Diagnostics.
The Clinical Data Molecular division will consolidate the operations of Genaissance Pharmaceuticals, Inc., Lark Technologies, Inc. and Icoria, Inc., all of which were acquired by the Company during 2005.
The Vital Diagnostics division will consolidate the operations of Clinical Data Sales and Service, Inc., Vital Scientific NV, Vital Diagnostics Pty. Ltd., and Electa Lab s.r.l., the Company’s previously owned subsidiaries in the small volume clinical diagnostics market.
Clinical Data claims that, Clinical Data Molecular is among the largest independent providers of pharmacogenomics and metabolomics services in the United States and is at the forefront of commercializing genetic tests to guide drug utilization.
The business units that now comprise Clinical Data Molecular generated approximately $33 million in revenue, on a pro forma combined basis, in the twelve months ending September 30, 2005, excluding revenue related to Icoria’s agricultural genomic services, which will be discontinued upon completion of all outstanding contracts.
Vital Diagnostics has a leading market share for instruments and reagents sold into moderately complex physician’s office laboratories within the United States and it has customers in approximately 100 countries around the globe.
For the twelve months ended September 30, 2005, the business units that comprise Vital Diagnostics generated approximately $53 million in revenue.
"As a result of this reorganization of our subsidiaries, we are streamlining Clinical Data’s corporate structure, increasing accountability, and strengthening our relationships with our customers," said Dr. Israel M. Stein, CEO and President of Clinical Data.
"These changes will also allow Clinical Data’s senior management team to devote their efforts to furthering the Company’s advancement as the leader in utilizing pharmacogenomics and metabolomics to guide drug utilization."
"Our emphasis will be to expand our menu of molecular services available to physicians, payors, pharmaceutical and biotechnology companies, and academic research organizations."
Randal J. Kirk, the Company’s Chairman, said, "This transformation creates a stronger, more cohesive and more customer responsive organization in both pharmacogenomics and in our legacy small-volume clinical diagnostics business."
"Our strategic focus is to advance a pipeline of proprietary tests and services that will inform drug utilization to reduce health care costs and improve outcomes."
"We are excited about the lead opportunities in our pipeline: Vilazodone, a novel compound for the treatment of depression, being developed in combination with a genetic screening test that identifies those patients most likely to derive significant benefit from the drug; CARING (Clozapine and Agranulocytosis Relationships Induced by Genetic variants), which we believe can significantly improve outcomes in the treatment of schizophrenia."
"STRENGTH, a study designed to identify biomarkers to increase positive outcomes for the statin class of drugs, which doctors use to treat patients with high cholesterol and who are, therefore, at risk of cardiovascular disease; and FAMILION™, a genetic test for inherited cardiac channelopathies which can result in sudden death in young adults."
"All of these programs leverage the robust service platforms that we have acquired recently from Genaissance and Icoria."