Friday, June 15, 2007
Bellevue, Wash.-based Radiant Research, the largest owned-model site management organization (SMO) with 26 sites, has completed a sale of the business to an ownership group led by ICICI Venture, a private equity company with $2 billion under management. Company officials said June 8th that Radiant will continue to provide development, study conduct and centralized patient recruitment services.
CenterWatch has been watching for years the goings on at Somerset, N.J.-based inVentiv Health. The billion-dollar company is on another buying spree and we’ve been interested in what it continues to do in the contract research space. In March 2006, inVentiv bought Synergos, a clinical services provider with expertise in clinical trial management services, including project management and monitoring as well as investigator and patient recruitment. Synergos, which was purchased for $5.75 million in cash and stock plus earn-outs, operates under inVentiv’s clinical division.
North Carolina-based CRO Quintiles has opened a new four-story, 236,000-square-foot clinical research facility in Overland Park, Kan. The facility will replace the company’s Clinical Development Services and Clinical Pharmacology units located in Kansas City, Mo., as well a an early phase unit in Lenexa, Kan. The new phase I facility will be three times the space, consisting of 150 beds and room for up to 200 more staff. Quintiles already employs about 750 employees in the Kansas City area.
Boston-based CRO Averion International reported a 48% increase in revenue for 2006 to $27.3 million. However, the company reported a loss in net operating income of $9.2 million, primarily due to costs associated with a merger in 2005 with Millennix and a 2006 reverse merger with IT&E International. The company’s chief executive officer Philip Lavin stated the Averion has had a “solid start” during the first quarter of 2007 and its goal is to reach profitability by the second of half of the year. Averion’s backlog of business within clinical research was $35.6 million as of December 31, 2006. Cash and equivalents were roughly $8.1 million, an increase of $1.7 million from 2005.
Houston-based Power3 Medical, a developer of protein biomarkers and diagnostic technology research, has formed a new joint venture contracted research organization (CRO) with Fort Myers, Fla.-based NeoGenomics, a clinical diagnostic laboratory specializing in cancer genetics testing. Power3 Medical, which owns a minority stake in the yet unnamed CRO, will use the firm to advance its proteomics and genomics diagnostic testing technology. The companies stated they will take the next six months to develop the new firm’s business model and begin operations thereafter.
Raleigh, N. C.-based CRO, INC Research, has partnered with GVK Biosciences to launch business operations in India using GVK’s facilities in Gurgaon. The new venture will be called INC GVK BIO Private Limited. The plans to open the office were announced to CWWeekly earlier this month during an interview with John Potthoff, Ph.D, president and chief operating officer at INC. Potthoff said that because of increasing demand, INC would be opening up offices in India and Latin America before the end of the year.
A new oncology-focused contract research organization (CRO) may have found an ideal way to tap into the large patient population participating in Brazil’s public healthcare system.