Synbiotics Corp. signs agreement to acquire International Canine Genetics Inc

Business Wire, July 25, 1996

SAN DIEGO--(BUSINESS WIRE)--July 25, 1996--Synbiotics Corp. (NASDAQ:SBIO) and Malvern, Pa.-based International Canine Genetics Inc. (OTC Bulletin Board:ICGI;ICGIW), Thursday announced they have signed a definitive agreement under which International Canine Genetics (ICG) will be acquired by Synbiotics.

The acquisition is subject to certain regulatory and stockholder approvals.

Under the terms of the agreement, Synbiotics will acquire the assets and certain liabilities of ICG in exchange for the issuance of up to 1.4 million shares of Synbiotics common stock. The number of shares is subject to adjustment if the market price per share of Synbiotics stock is above $3.50 per share or below $2.50 per share at the closing.

All of ICG's outstanding warrants and stock options will similarly be replaced by or converted into warrants and options to acquire shares of Synbiotics common stock. In addition, ICG's largest shareholder, S.R. One Limited, has agreed to purchase $1 million of newly issued Synbiotics common stock at the closing.

"We see this acquisition as fitting well into our overall growth plan for Synbiotics," stated Kenneth M. Cohen, chief executive officer of Synbiotics.

"It furthers our objective of providing complete veterinary patient management for companion animals by broadening our product offerings to this market. Additionally, we expect to benefit from ICG's established distribution channels, particularly its network of veterinary customers in the U.S. and key international markets."

According to ICG President, Paul Rosinack, who will become vice president and general manager of the combined Synbiotics-ICG animal health business upon completion of the acquisition, "Combining our specialty business with Synbiotics' broad product line, distribution and financial strength offers excellent prospects for growth."

ICG develops new technology into value-added products and services for breeders and owners of purebred dogs and their veterinarians. ICG serves four specialized markets: canine reproduction, genetic disorders, nutritional supplements and grooming products.

Synbiotics develops, manufactures and markets animal health products under its own name in the United States and internationally through licensees.

CONTACT: Synbiotics Corp., San Diego

Michael K. Green or Kenneth M. Cohen, 619/451-3771

MikeG@Synbiotics.com or KenC@Synbiotics.com

or

Financial Relations Board, Chicago

Kathy Brunson, 312/266-7800