Evotec AG (Frankfurt Stock Exchange, Prime Standard, ISIN: DE 000 566480 9, WKN 566480) and DIL Limited, India, announced today the signing of a definitive agreement to acquire a 70% controlling majority stake of the drug discovery service company RSIPL for EUR 2.8 million in cash, a portion of which includes a potential earn-out.
This transaction is a very important step in Evotec's strategy "Evotec 2012 - Action Plan to Focus and Grow" as it strengthens the strategic position of Evotec's Discovery Alliance Business. It represents an important capacity expansion for Evotec and adds a complementary drug discovery operation and capability in the field of science-driven chemistry work in a cost-effective location to Evotec's already world-leading discovery platform. The transaction thereby efficiently increases Evotec's ability to deliver high quality, know-how driven drug discovery and development services to its partners on a global scale.
RSIPL is a 100% subsidiary of DIL, a publicly listed company on the Bombay Stock Exchange, and currently employs approximately 160 employees. Following the transaction, RSIPL will be integrated, as Evotec India, into the value chain of Evotec's operations in Hamburg (Germany) and Abingdon (UK). The deal is expected to close latest in early September, 2009. Evotec has a call option to purchase the remaining 30% from DIL in the future in the event of a change-of-control.
Despite this and the recent acquisition of the zebrafish technology platform, Evotec maintains it guidance to have more than EUR 65 million in liquid funds available by the end of 2009.
Contact: Dr Werner Lanthaler, Chief Executive Officer, Evotec AG, Schnackenburgallee 114, 22525 Hamburg, Germany, Phone: +49.(0)40.560 81-242, firstname.lastname@example.org