Adds market-leading electronic clinical trial management capabilities to Perceptive Informatics, Inc. portfolio
Boston, MA, January 21, 2003 -- PAREXEL International Corporation (Nasdaq:PRXL) today announced the signing of a definitive agreement to acquire FW Pharma Systems Ltd., a leading software company that delivers enterprise-wide clinical trial management systems (CTMS). The privately held company is based in Birmingham, United Kingdom. Following the closing of the acquisition, FW Pharma Systems Ltd. will be combined with the operations of Perceptive Informatics, Inc. (Perceptive), the information technology subsidiary of PAREXEL.
The transaction will be financed through a combination of cash and PAREXEL stock with a purchase price totaling as much as $15.4 million. Closing is subject to the satisfaction of certain conditions and is expected to take place early in the third quarter of Fiscal 2003 (which ends March 31, 2003). Further specifics of the deal were not disclosed.
The primary product of FW Pharma Systems is "IMPACT" which is used by eleven of the top twenty pharmaceutical companies, and has over 13,000 users worldwide. The product helps clients plan and monitor the progress of trials, track supplies and costs, and enter monitoring data remotely. A second product, known as "INITIATOR", provides trial management capabilities that specifically address the needs of Phase I trials. The clients of FW Pharma Systems include pharmaceutical and biotechnology companies, as well as contract research organizations.
Josef H. von Rickenbach, PAREXEL's Chairman and Chief Executive Officer stated, "The products of FW Pharma Systems strongly complement Perceptive's existing portfolio. The combined offering will allow our clients to better manage the complex process of running clinical trials. FW Pharma Systems has a solid reputation for quality and a history of excellence, and we are extremely excited to be joining forces with them."
Mark A. Goldberg, M.D., President of Perceptive stated, "The products of FW Pharma Systems, when combined with the power of Perceptive's web-based portal systems, investigator database tools, and interactive voice response systems (IVRS), give us the ability to improve clinical trial management on an enterprise-wide basis. Our vendor neutral approach allows for the integration of our solutions with various third party and in-house systems. The expanded suite of products and services resulting from this acquisition will solidify Perceptive's position as a market leader in technology that facilitates drug development."
FW Pharma Systems employs approximately 80 individuals and has offices in Oxford, United Kingdom; Malvern, Pennsylvania; and San Mateo, California in addition to its headquarters in Birmingham.
PAREXEL will provide forward-looking financial guidance, including the anticipated impact from the acquisition of FW Pharma Systems, when it reports second quarter earnings on January 22, 2003.
PAREXEL is one of the largest biopharmaceutical outsourcing organizations in the world, providing a broad range of knowledge-based contract research, medical marketing and consulting services to the worldwide pharmaceutical, biotechnology and medical device industries. With a commitment to providing solutions that expedite time-to-market and peak market penetration, PAREXEL has developed significant expertise in clinical trials management, data management, biostatistical analysis, medical marketing, clinical pharmacology, regulatory and medical consulting, industry training and publishing and other drug development consulting services. Its information technology subsidiary, Perceptive Informatics, Inc., develops and offers a portfolio of sophisticated and innovative technology-based products and services that facilitate clinical drug development and are designed to decrease time to peak sales. The technology portfolio includes web-based portal solutions and tracking tools, Interactive Voice Response Systems (IVRS), electronic data capture, and electronic diary solutions. Perceptive also offers advanced medical diagnostics services to assess rapidly and objectively the safety and efficacy of new drugs, biologics, and medical devices in clinical trials. PAREXEL's integrated services, therapeutic area depth and sophisticated information technology, along with its experience in global drug development and product launch services, represent key competitive strengths. Headquartered near Boston, MA, PAREXEL operates in 57 locations throughout 37 countries around the world, and has approximately 4,860 employees.
This release contains "forward-looking" statements regarding future results and events, including statements regarding the Company's existing capital resources and future cash flows from operations, and statements regarding expected financial results, future growth and customer demand that involve a number of risks and uncertainties. For this purpose, any statements contained herein that are not statements of historical fact may be deemed forward-looking statements. Without limiting the foregoing, the words "believes", "anticipates", "plans", "expects", "intends", "appears", "estimates", "projects" and similar expressions are intended to identify forward-looking statements. The Company's actual future results may differ significantly from the results discussed in the forward-looking statements contained in this release. Important factors that might cause such a difference include, but are not limited to, risks associated with: actual operating performance; actual expense savings and other operating improvements resulting from recent restructurings; the cancellation, revision, or delay of contracts, including those contracts in backlog; the Company's dependence on certain industries and clients; the Company's ability to win new business, manage growth, and attract and retain employees; the Company's ability to complete additional acquisitions and to integrate newly acquired businesses or enter into new lines of business; government regulation of certain industries and clients; competition and consolidation within the pharmaceutical industry; the potential for significant liability to clients and third parties; the potential adverse impact of health care reform; and the effects of exchange rate fluctuations and other international economic and political risks. Such factors and others are discussed more fully in the section entitled "Risk Factors" of the Company's Form 10-Q for the quarter ended September 30, 2002, as filed with the Securities and Exchange Commission, which "Risk Factors" discussion is incorporated by reference in this press release. The forward-looking statements included in this press release represent the Company's estimates as of the date of this release. The Company specifically disclaims any obligation to update these forward-looking statements in the future. These forward-looking statements should not be relied upon as representing the Company's estimates or views as of any date subsequent to the date of this press release.
