RESEARCH TRIANGLE PARK, NC - February 6, 1996 - Quintiles Transnational Corp. (Nasdaq:QTRN) announced today that it has signed a non-binding letter of intent to acquire 100% of the stock of PMC Contract Research AB located in Uppsala, Sweden. The proposed acquisition would expand Quintiles' ability to provide drug development services in Scandinavia and position the company for further growth in that region. The proposed transaction is subject to the negotiation and execution of a definitive agreement and other approvals.
The transaction would be effected primarily through an exchange of stock and would be accounted for as a pooling of interests. Under the proposed agreement, which is expected to be completed during the quarter, Quintiles would acquire PMC for approximately 273,000 shares of Quintiles Common Stock and about $1.3 million in cash. PMC, the largest contract research organization in Sweden, employs 50 staff. The company manages clinical trials and has a Phase I clinical trial testing unit and an analytical laboratory.
"The acquisition of PMC, the premier Swedish contract research group, would fit in well with our expansion strategy," said Dennis Gillings, Ph.D., Chairman and Chief Executive Officer of Quintiles. "Demand for our drug development services in Scandinavia is on the rise and we want to be able to respond to client needs. We established an office in Denmark in 1995, so the addition of PMC, which has been in business for a decade now, would enhance our management infrastructure for the anticipated growth. Clinical studies from Scandinavia are among the most highly regarded in the world and we would be pleased to add a quality organization like PMC to the worldwide Quintiles family." Bengt Dahlstrom, Ph.D., President and CEO of PMC Contract Research AB, said, "By joining forces with Quintiles, we would greatly facilitate the strategic development and growth of our operations. Through Quintiles, we would gain access to new market segments in Phase II and III clinical trials. With a strong match in company philosophies and dedication to quality, we anticipate substantial synergies between our companies."
Quintiles is a contract research organization that provides a full range of global drug development service to pharmaceutical and biotechnology clients. Headquartered near Research Triangle Park, NC, Quintiles has more than 30 offices in 15 countries. The company's professional services include clinical trials and data management, biostatistical analysis, formulation and packaging of drugs for clinical trials, centralized clinical trial laboratory services, preclinical and Phase I testing, study design, strategic and regulatory consulting, and health economics.