QIAGEN Fully Acquires NeuMoDx for $248M

QIAGEN N.V. announced the acquisition of the remaining 80.1 percent of diagnostics instruments company NeuMoDx Molecular Inc. for $248 million in cash. The move rounds out QIAGEN’s portfolio of automated molecular testing solutions based on the proven PCR technology.
 
The transaction was completed after QIAGEN received U.S. regulatory clearance for the full acquisition. In 2018, QIAGEN had purchased a 19.9 percent stake in NeuMoDx along with the right to acquire the remaining NeuMoDx stake at a price of $234 million. The final payment price for this remaining stake includes customary purchase price adjustments for cash, indebtedness and transaction costs. Also as part of the 2018 agreement, QIAGEN has distributed the high-throughput NeuMoDx 288 and the medium-throughput NeuMoDx 96 platforms in Europe and other markets outside the U.S.
 
“NeuMoDx’s automated molecular testing platforms offer a unique combination of speed, flexibility, throughput and ease of use for molecular diagnostics assays, including laboratory-developed tests,” said Thierry Bernard, CEO of QIAGEN. “NeuMoDx has built an unparalleled platform that has demonstrated superior value during the coronavirus pandemic. This will expand QIAGEN’s portfolio of automated testing solutions and provide another driver for future growth.”
 
“NeuMoDx devices offer labs with medium to high throughput exactly what they need,” Bernard added. “Labs want compact systems with true random access, fast turnaround time, full automation and comprehensive menus. The full integration of the NeuMoDx systems will allow QIAGEN to address laboratory needs in almost any setting for molecular diagnostics. We are excited to be able to build on NeuMoDx’s success and will jointly work on expanding our product portfolio and global distribution.” 
 
“Becoming a part of QIAGEN allows us to take our successes at NeuMoDx to the next level,” said Jeff Williams, Chairman and CEO of NeuMoDx Molecular. “We have built a broad testing portfolio and created strong customer enthusiasm around the world with our device’s unique combination of speed, flexibility, throughput and ease of use. This transaction is a testament to the achievements of the entire NeuMoDx team and we are excited to finally become a full part of the QIAGEN family.”
 
As rapid, integrated PCR-based devices, NeuMoDx 288 and NeuMoDx 96 already offer 13 CE-IVD-marked assays for different infectious diseases in Europe. These include a dedicated COVID-19 test, which has also received FDA Emergency Use Authorization for the U.S. market, complementing the FDA-approved GBS assay (group B Streptococcus). A new multiplex test for influenza, respiratory syncytial virus (RSV) and the SARS-CoV-2 virus is scheduled for launch in the fourth quarter of 2020.
 
The NeuMoDx devices have features that set them apart from other lab-based PCR diagnostics systems: they have the fastest fully automated turnaround time, delivering insights in an hour rather than their competitors’ three hours; they allow clinical molecular diagnostic laboratories to process ever-larger volumes and deliver ever-faster insights into many infectious diseases including COVID-19; their flexibility and efficiency is driving a growing menu of in vitro diagnostic (IVD) tests and enables the devices to process commercial and laboratory-developed tests (LDTs—IVD tests made by clinical labs for in-house use). 
 
QIAGEN plans to provide further information on the financial impact of this transaction when it reports results for the third quarter and first nine months of 2020 in early November 2020.