In an all-stock deal, Australian CRO vivoPharm has acquired RMIT University's Drug Discovery Technologies (RDDT) division. The deal will result in the university grabbing a 20% stake in vivoPharm, while the CRO will uproot its headquarters from Adelaide to a suburb of Melbourne, where RDDT is located.
According to PharmaTimes, RMIT University had aimed to market RDDT globally and saw that vivoPharm, "with suitable administration, infrastructure and international marketing activities," had the capabilities to achieve that goal.
"After six years of development, RDDT is ready to move to the next level of preclinical toxicology safety testing," said RDDT chairman Derek Young, as quoted in an article by the Australian Life Scientist.
Acquiring RDDT will also serve vivoPharm. Not only will RDDT's value boost vivoPharm, said the CRO's chairman Ian Nisbet in PharmaTimes, uprooting to the Melbourne area will provide his company with more clinical trial opportunities than Adelaide offers.