(Adds Lazard in the last paragraph.)
Oct. 6 (Bloomberg) -- Miraca Holdings Inc., Japan’s biggest provider of medical tests, agreed to buy Caris Life Sciences Inc.’s pathology unit for $725 million, gaining laboratories in three U.S. states that service more than 3,500 patients daily.
The purchase price includes the repayment of existing debt, and the deal is subject to a restructuring of closely held Caris Life Sciences’ businesses and other conditions, according to a statement to the Tokyo Stock Exchange today.
Buying the pathology unit, also known as CDx, gives Tokyo- based Miraca a bigger share of a market that grew 40 percent annually over the past six years, the companies said. With more than 70 pathologists, CDx provides nationwide testing services from laboratories in Irving, Texas, where it’s based, Newton, Massachusetts, and Phoenix, according to the statement.
“The acquisition of CDx will substantially expand Miraca’s footprint in the U.S. laboratory testing market, which is larger and faster-growing as compared to Japan,” the companies said. “Miraca will leverage this platform to further expand its presence in the U.S. through both internal and external opportunities.”
The statement was made after markets in Japan closed. Miraca added 0.8 percent to 3,340 yen, compared with a 1.5 percent advance in the Topix index. The shares have increased 2.1 percent this year, while the benchmark index has lost 18 percent.
Lazard Ltd. is advising Miraca in the transaction.
--Editors: Jason Gale, Terje Langeland
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