France's ExonHit Therapeutics has established a new beachhead in the U.S. molecular diagnostics market with its newly announced deal to buy Pittsburgh-based RedPath Integrated Pathology for $22.5 million in cash and stock plus $9.5 million in sales milestones.
RedPath CEO Mark Myslinski says the buyout will pump fresh funds into the company, which sells a molecular diagnostic test for pancreatic cancer. Myslinski is poised to become the expanded company's chief of global molecular diagnostics once the deal is finalized.
"This transaction will strengthen our presence in the USA, which represents 55 percent of the molecular diagnostics market," said Loïc Maurel, president of the management board at ExonHit. RedPath was spun out of the University of Pittsburgh and developed with funds from the Pittsburgh Life Sciences Greenhouse.
While the RedPath operation will now have an open avenue into the cancer diagnostics market in Europe, ExonHit is gaining a fresh marketing vehicle for its AclarusDx platform, a molecular assay used to diagnose Alzheimer's disease.
- check out release for more
- here's the story from the Pittsburgh Business Journal