Contract research organization (CRO) Bio-Imaging Technologies has sold off its CapMed division, which provides personal health management solutions to hospitals, employers and pharmaceutical companies, in order to better focus on the CRO’s core clinical trials business.
Under the terms of the agreement, Bio-Imaging will receive $500,000 in cash plus an earn-out over a two-year period from Metavante Technologies, a Milwaukee-based provider of banking and payment technologies.
“We believe that it is beneficial for all parties that CapMed will be a part of an organization that is more closely aligned with healthcare information and payment processing for consumers,” Bio-Imaging president and CEO Mark Weinstein said in a company release.
Bio-Imaging expects to incur a one-time charge of $2.5 to $2.7 million related to the write-down of assets of the CapMed division. As a result, the company has lowered its full year 2008 earnings per share guidance from a range of $0.23 to $0.25 per share to a range of $0.11 to $0.15 per share.
In early morning trading, Bio-Imaging’s share prices were up 2.56% to $3.20.