German laboratory information system developer, GLP Medical Group, has been acquired by Australian diagnostics software specialist, Sonic Healthcare, in a deal worth approximately €30m.
GLP Medical is based in Hamburg and specialises in laboratory software. Formerly known as “Labor Dr von Froreich & Kollegen”, the company is widely used across Germany and other parts of Europe.
The firm currently employs 250 laboratory staff, who continue to develop new systems for the market, and provide existing customers with full support.
As Sonic already has full-service laboratories in Hamburg through subsidiary businesses, Bioscientia Healthcare and the Schottdorf group, the company hope to expand their offerings in Germany and Europe.
Sonic Healthcare’s CEO and Managing Director Dr Colin Goldschmidt said: “The partnership with GLP Medical Group represents an exciting development for Sonic in Europe. The service delivery and quality standards of the GLP team of staff are outstanding and the laboratory itself makes use of a number of unique technical innovations that may provide benefits to Sonic’s laboratory operations world-wide.”
The acquisition is conditional upon German anti-trust approval as well as customary legal restructuring which are expected to be completed by August or September this year.
As part of the transaction, Sonic will make two minority investments in GLP Systems and GLP Networks which develop solutions for laboratory automation and medical software communication platforms respectively.
The majority ownership in these GLP group firms will continue to be held by founder Dr von Froreich and his family. Dr von Froreich will also continue to lead GLP Medical Group together with his senior executive group comprising Marie-Christine von Schrenck, Dr Johannes Ungeheuer and a dedicated team of doctors and other managers.
Dr Goldschmidt added: “The investments in GLP Systems and GLP Networks will foster Sonic’s competitive advantage through access to cutting edge technology and know-how developed in-house at GLP Medical.
“With significant potential for synergy in an important metropolitan region of Germany, this acquisition further enhances our expanding laboratory platform in Germany and in Europe. We are proud to partner with Dr von Froreich and his team and I would like to take this opportunity to warmly welcome all staff of GLP Medical Group to Sonic Healthcare.”
GLP Medical Group says it expects net earnings for the current financial year of approximately €3.5m