BATM Advanced Communications Limited (LON:BVC) has acquired Israel-based medical diagnostic laboratory Zer Laboratories Ltd for around £580,000 in cash.
The networking technology and medical laboratory systems group aid Zer is the largest private diagnostic laboratory in Israel for clinical tests, with a focus on providing pre-natal screenings for Down's Syndrome, genetic tests and additional IVF and fertility treatment testing.
BATM said Zer posted revenues of US$2.4mln and pretax profits of US$27,000 in 2015.
The technology group said it intends to use Zer for launching new, advanced diagnostic DNA-based tests in Israel, and as a local reference lab for new molecular biology solutions from its medical diagnostics arm Adaltis
Dr. Zvi Marom, BATM’s chief executive officer, said: "We are pleased to have acquired Zer Laboratories and welcome them to the Group. They enjoy an excellent reputation in Israel and provide much-needed tests and services to pregnant women.”
He added: “We look forward to building on the success and established footprint of Zer Laboratories, on the synergies with our operations in Romania, on our investment in Toldot, our genetics subsidiary, and on new developments from Adaltis, to widen the number of DNA-based tests that we can offer for the benefit of more women in our current geographies and beyond and deepen our involvement in molecular-biology-based testing."
Around midday, BATM shares were up 1.3%, or 0.25p at 19.25p.
Robin Speakman, analyst at ‘house’ broker Shore Capital, said: “BATM is building a specialism in diagnostics within the group and the acquisition of Zer is complimentary to this, in our opinion, with synergies in genetics expected within the group.”
-- Adds broker comment, updates share price --