BioTelemetry (NSDQ:BEAT) said yesterday that it closed its $15.5 million acquisition of clinical trial imaging provider VirtualScopics (NSDQ:VSCP), approximately 6 weeks after the deal was 1st announced.
The all-cash buyout of Rochester, N.Y.-based VirtualScopics included a $4.05-per-share tender for roughly 3 million VirtualScopics shares. BioTelemetry also offered $336.50 per share for the company’s Series A and Series B stock, and $920 per share for VirtualScopics’ Series C-1 stock. With the deal complete, VirtualScopics is now a wholly-owned BioTelemetry subsidiary, according to a May 12 regulatory filing.
BioTelemetry president & CEO Joseph Capper said that the deal will help his company expand into a crucial medtech space.
“The addition of VirtualScopics’ imaging capabilities expands our clinical research offerings and further demonstrates our commitment to growing this important portion of our business,” Capper said in prepared remarks.
BioTelemetry said it will disclose how the acquisition will impact its 2016 results during its 2nd-quarter earnings call, slated for late July.
BioTelemetry, based in Malvern, Pa., itself formed with the $11.6 million merger of CardioNet and Biotel in 2010. The company sells products including mobile cardiac telemetry, as well as event, continuous rhythm, digital Holter and INR self-monitoring.
In March 2015, BioTelemetry agreed to fork over $6.4 million to settle federal charges that the CardioNet subsidiary overbilled Medicare for unnecessary outpatient services.