American based biotechnology company Life Technologies to acquire unit of its distributor firm Labindia

Life Technologies, the American based biotechnology company Tuesday reported it is to acquire a unit of its Indian distributor firm, Labindia through its wholly-owned Indian subsidiary Invitrogen BioServices India Pvt Ltd.

However, the amount involved in the transaction was not revealed. Labindia distributes the US firm’s products in India, and a statement from Life Technologies said the two had reached a definitive agreement in which the US firm acquires the Labindia unit. It is understood that the Labindia unit is based in Gurgaon, India.

Life Technologies Head of Asia Pacific Region, Mark Smedley reiterated that its chief motivation for undertaking the Indian investment is to cater to the increased demand from its customers. As such, the Labindia unit will enable Life Technologies develop a more direct connection with its Indian clients, better serve their needs with superior products, service and customer support.

Life Technologies expects the acquisition to enable it provide a more wholesome and complementary line of products directly to its customers. The acquisition is expected to close during the fourth quarter of this fiscal.

Life Technologies offers its clients with a variety of cutting edge instruments and re-agents used in biological research under the Applied Biosystems and Invitrogen brands. Labindia has now been distributing the American firm’s applied biosystems products in India for close to sixteen years. This transaction creates a full service business, allowing the company to provide its applied biosystems products directly to customers along with its Invitrogen portfolio, Smedley added. The US firm said as result of the acquisition, nearly 100 people from Labindia would join it.

Around 100 employees of LabIndia will join Life Technologies, creating a 200-person organization with operations throughout India. Labindia is engaged in marketing and manufacturing of various analytical instruments, accessories and other products that are used by the chemical, pharmaceutical, petrochemicals and biotechnology industries as well as for basic research in academic and government laboratories. LabIndia has been distributing Applied Biosystems’ products in India since 1994.

The $3.3 billion Life Technologies, which employs around 9,000 people globally, was formed with the acquisition of Applied Biosystems Group by Invitrogen Corporation in 2008; in a cash and stock transaction valued at $6.7 billion. The acquisition in India is part of its strategy to integrate its operations globally. Life Technologies also plans to acquire more companies to grow its business in India.

  • Facebook
  • LinkedIn
  • MySpace
  • Twitter
  • Yahoo! Buzz

Tags: , , , , , , , , , , ,

Comments are closed.

© Invest in India |