The company plans to vigorously defend its position
SAN DIEGO--(BUSINESS WIRE)--Nov. 27, 2017--
Quidel Corporation (NASDAQ: QDEL) (“Quidel”), a provider of rapid
diagnostic testing solutions, cellular-based virology assays and
molecular diagnostic systems, acknowledged Beckman Coulter (“Beckman”)
plans to pursue commercial litigation to allow it to sell BNP directly
to customers, contrary to its agreement with Quidel for the development,
manufacture, and supply of a B-type Naturietic Peptide (BNP) assay for
the diagnosis of cardiac disease (heart failure) (the “Supply
Agreement”).
Quidel views Beckman’s claims as meritless, and in opposition to
Beckman’s long-standing strategy of honoring the Supply Agreement with
its previous partners – Alere and Biosite – over the last 14 years, and
merely a tool in an effort to purchase the BNP assay business from
Quidel. Quidel plans to vigorously defend the validity of the Supply
Agreement and is confident in its legal position.
In recent weeks, the Board of Directors of Quidel unanimously rejected
offers by Beckman’s parent company, Danaher Corporation (“Danaher”), to
acquire the BNP assay business. The Board found that Danaher’s proposal
was inadequate for the BNP assay business, and believes the execution of
Quidel’s long-term strategy, including the integration of its recently
acquired assets, will create substantial long-term value for Quidel’s
shareholders.
On October 6, 2017, Quidel acquired certain assets and rights from
Alere, which were divested as part of Abbott Laboratories’ acquisition
of Alere. Under the Supply Agreement, which Alere acquired from Biosite
and Quidel acquired from Alere, Quidel provides to Beckman certain
proprietary antibodies (developed under a license with Scios), Beckman
manufactures assays (compatible with Beckman analyzers), Beckman sells
the assays to Quidel, which in turn sells the assays to customers for
use on Beckman analyzers. Pursuant to the terms of the Supply Agreement,
the Supply Agreement, including its non-compete provision, remains in
effect so long as the Scios license remains in effect.
About Quidel Corporation
Quidel Corporation serves to enhance the health and well-being of people
around the globe through the development of diagnostic solutions that
can lead to improved patient outcomes and provide economic benefits to
the healthcare system. Marketed under the Sofia®, QuickVue®, D3® Direct
Detection, Thyretain®, Triage® and InflammaDry® leading brand names, as
well as under the new Solana®, AmpliVue® and Lyra® molecular diagnostic
brands, Quidel’s products aid in the detection and diagnosis of many
critical diseases and conditions, including, among others, influenza,
respiratory syncytial virus, Strep A, herpes, pregnancy, thyroid disease
and fecal occult blood. Quidel's recently acquired Triage® system of
tests comprises a comprehensive test menu that provides rapid,
cost-effective treatment decisions at the point-of-care (POC), offering
a diverse immunoassay menu in a variety of tests to provide you with
diagnostic answers for quantitative BNP, CK-MB, d-dimer, myoglobin,
troponin I and qualitative TOX Drug Screen. Quidel’s research and
development engine is also developing a continuum of diagnostic
solutions from advanced immunoassay to molecular diagnostic tests to
further improve the quality of healthcare in physicians’ offices and
hospital and reference laboratories. For more information about Quidel’s
comprehensive product portfolio, visit quidel.com.
Forward-Looking Statements
This press release contains certain forward-looking statements. These
matters are subject to risks and uncertainties that could cause actual
results to differ materially from those projected, anticipated or
implied. These risks and uncertainties include: the outcome of the
Beckman litigation; the risk that disruptions will occur from the
litigation that will harm the Company’s business or its reputation; the
cost of defending the litigation, and any potential monetary exposure
arising from the litigation, to the extent that the Company is not
indemnified under the amended and restated BNP Purchase Agreement with
Abbott and Alere; and the impact of the litigation and its outcome on
the Company’s revenue and other financial results, including those
expected from the Supply Agreement. Defending litigation can be costly
and time-consuming and divert the attention of management from the
Company’s business. In addition, the outcome of litigation is inherently
uncertain, and an adverse outcome could result in material damages or
equitable remedies that result in a significant reduction in revenues
from those the Company currently expects under the Supply Agreement,
which could materially and adversely affect the Company’s financial
condition and results of operations. Forward-looking statements are
based on management’s expectations as well as estimates and assumptions
prepared by management that, although they believe to be reasonable, are
inherently uncertain. The Company is subject to additional risks and
uncertainties described in the Company’s annual report on Form 10-K and
subsequent quarterly reports on Form 10-Q. You are cautioned not to
place undue reliance on these forward-looking statements, which reflect
management’s analysis and expectations only as of the date of this press
release. We undertake no obligation to publicly release the results of
any revision or update of the forward-looking statements, except as
required by law.
View source version on businesswire.com: http://www.businesswire.com/news/home/20171127005768/en/
Source: Quidel Corporation
Quidel Corporation
Randy Steward
Chief Financial Officer
(858)
552-7931
or
Ruben Argueta
(858) 646-8023
rargueta@quidel.com