Varian buys spectroscopy lines from Digilab

Palo Alto, CA—Varian Inc. recently bought some of the molecular spectroscopy assets of Digilab LLC for approximately $14 million in cash.

09/30/2004


Palo Alto, CA— Varian Inc. recently bought some of the molecular spectroscopy assets of Digilab LLC for approximately $14 million in cash. The deal includes potential added payments, if the acquired product lines reach specific financial performance targets during the next 12 months.

The acquisition expands Varian’s lines of detectors and spectrometers for life science and industrial materials research applications. Varian expects that acquiring Digilab’s lines will generate at least $15 million in the first year, and be slightly dilutive to earnings for the first six months and accretive afterwards.

The acquired product lines include Fourier Transform infrared (FT-IR) spectroscopy instruments; FT-IR imaging microscopes; near infrared (NIR) spectroscopy instruments; and Raman spectroscopy instruments. FT-IR and Raman spectroscopy products are used in pharmaceutical and biotechnology research applications and in industrial materials research.

'Digilab is a technology leader in FT-IR. Through our global channels, Varian offers expanded distribution for acquired products, and we bring increased R&D via ur already strong positions in related technologies, such as UV/Vis, fluorescence, and NIR spectroscopy,' says Martin O'Donoghue, Varian’s scientific instruments VP. 'In addition, this acquisition provides the opportunity to expand our existing gas chromatography (GC) business by offering hyphenated techniques, such as GC-IR and GC/ FT-IR/mass spectrometry (MS), using Digilab's infrared detector.'

Molecular spectroscopy is a technique used to determine the structure, function, and dynamics of a substance based on its electromagnetic characteristics. FT-IR spectroscopy uses the absorption spectrum of a compound to determine its molecular structure, while Raman spectroscopy uses the scattering of laser light to provide complementary information. Both techniques have applications in quality assurance/quality control (QA/QC) testing and the determination of biological tissue composition.

For more information on FT-IR and Raman spectroscopy, visit www.varianinc.com/corp/businesses/spectroscopy/index.html .

Control Engineering Daily News Desk
Jim Montague, news editor
jmontague@reedbusiness.com





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