Diagnostic Hybrids Inc. Acquires In Vitro Diagnostic Cell Culture Product Line

Business Wire, Feb 21, 2002

Business Editors & Health/Medical Writers

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ATHENS, Ohio--(BW HealthWire)--Feb. 21, 2002

Diagnostic Hybrids Inc. today announced it has closed on the acquisition of the in vitro diagnostic cell culture product line of BioWhittaker Inc., a division of Cambrex Corp., (NYSE:CBM) East Rutherford, N.J. The announcement was made jointly by David R. Scholl, Ph.D., president and CEO of Diagnostic Hybrids, and N. David Eansor, vice president and general manager of the Biotherapeutic Business Unit at BioWhittaker.

The acquisition represents an effort by Diagnostic Hybrids and BioWhittaker to bring the most innovative cell culture products to clinical virologists in the United States, Canada and Europe. This acquisition allows for an orderly transition of BioWhittaker cell culture interests to Diagnostic Hybrids, permitting BioWhittaker to focus on other strategic directions while Diagnostic Hybrids continues to grow and enhance its customer service and technology as the leading provider worldwide of genetically engineered and routine tissue cell culture lines and accessories for a wide range of clinical diagnostic purposes.

Diagnostic Hybrids will continue to focus on delivering the highest levels of innovation, quality and service to its core business in clinical virology. "The growth of DHI has been due to a number of factors. But foremost, we remain committed to the fundamentals of our business -- the customer comes first," Scholl said.

This attention to customer service, for example, prompted the development of Diagnostic Hybrids' integrated JIT (Just In Time) product availability program. Products are made up to three times per week and provided in several formats, including tubes, shell vials, multi-well plates, flasks and frozen cell suspensions. Multiple manufacturing days allow customers more flexibility in placing orders. Others in the industry require pre-notification of up to two weeks.

Eansor commented that clinical virologists are impressed with Diagnostic Hybrids' focus on better cell culture systems for virus and autoimmune diseases. "They have embraced DHI's general product development vision, which is to make traditional cell cultures more sensitive, faster and user-friendly in diagnosing viruses," he said. "In most cases, DHI's products provide a definitive answer in one day or less. That provides real benefit to a diagnostic laboratory."

The plan to transition customers to Diagnostic Hybrids includes transfer of shell vial manufacturing immediately to the company followed by other products by mid-summer. According to Scholl, "This approach will ensure that the continuity in product quality, supply, technical support and customer service will remain at the forefront of the acquisition."

BioWhittaker will provide manufacturing and customer support to Diagnostic Hybrids during the next several months. "Cell cultures for clinical virology applications have been a very important part of our past business model," Eansor said. "We have appreciated our relationship with these customers and will strive to work with Diagnostic Hybrids and its customers to make the transition go as smoothly as possible."

Diagnostic Hybrids currently provides a range of patented and proprietary products that are marketed to clinical virologists and allied health care and research professionals involved in testing, screening and quality assurance. These products include:

-- Bruce Johnson, Director, Ohio Department of Development, Columbus, Ohio

-- 800-848-1300 (x27499); bjohnson@odod.state.oh.us

-- Pat Valente, Deputy Director, Ohio Department of Development, Columbus, Ohio


-- 800-848-1300 (x63070); pvalente@odod.state.oh.us

-- Mike Jacoby, Regional Representative, Ohio Department of Development,
Marietta, Ohio

-- 740-373-5150; region11@ee.net

-- Frank Samuel, Technology Adviser, Office of the Governor, State of Ohio,
Columbus, Ohio

-- 614-728-4192; fsamuel@gov.state.oh.us

-- Tony Dennis, President, Edison Biotechnology Center, Columbus, Ohio

-- 216-229-0400; tony_dennis@ebtc.org

-- Dr. John Bantle, Vice President of Research, Ohio University, Athens, Ohio

-- 740-593-0370; bantle@ohiou.edu

-- Dr. David Wight, Director, Edison Biotechnology Institute, Ohio University,
Athens, Ohio

-- 740-593-4713; wight@ohiou.edu

-- Linda Clark, Director, Ohio University Innovation Center, Athens, Ohio

-- 740-593-1803; clark@ohiou.edu

The acquisition expands the Diagnostic Hybrids product line to include primary cell lines (PMK and PRK). "While our recent technical accomplishments have reduced the need for primary cell lines in clinical virology," Scholl said, "we expect that delivering our new Mixed Cell technology for respiratory viruses and enteroviruses will be greatly enhanced by offering primary cell cultures as well." The company is expected to gain additional future business opportunities from the transfer of primary cell culture technology.

Primary Contacts

David Scholl, Ph.D., President and CEO, Diagnostic Hybrids Inc.,

Athens, Ohio: scholl@dhiusa.com, (800) 344-5847.