SSI Diagnostica Group acquires infectious disease test specialist – Med-Tech Innovation
SSI Diagnostica Group (SSID) has acquired Virginia-based firm TechLab, a developer and manufacturer of rapid infectious disease tests for gastrointestinal and enteric diseases.
The in-vitro diagnostics company has experienced significant growth in recent years based on its ability for new product innovation, expansion into international markets and strategic acquisitions. By joining forces with TechLab, SSID is broadening its infectious disease product offering and laying the foundation for accelerated growth in the US.
The importance of rapid and accurate diagnostics has become clear to everyone during the last two years. Healthcare systems have had to adapt, to handle challenges such as ageing demographics in developed countries, and the need to raise care standards in emerging markets. Increased outpatient/community care, telehealth, and patient self-testing enabled by rapid diagnostics are among others important aspects of the solution to these challenges.
Søren Skjold Mogensen, CEO, SSI Diagnostica Group, said: “TechLab, CTK and SSI Diagnostica all come from a strong history of R&D excellence, enabling them to become leaders within their respective diagnostic fields. By joining forces, we strengthen our position within infectious disease testing and add unique commercial and manufacturing competencies globally, including on the important US market. Today, the SSID group helps close to 80 million patients every year with diagnostic testing solutions. The joint group will be able to help countless more.”
International breakthrough
SSID has grown significantly in recent years through innovation and new product development, as well as strategic M&A into key focus areas. SSID joined forces with San Diego-based CTK Biotech in 2020, broadening the group’s rapid testing operations. The joint group will have combined annual sales exceeding $160 million and 650 employees in Denmark, USA, and China. The growth partner for SSID is Adelis Equity Partners, the private equity firm that has been the group’s majority owner for more than six years. In conjunction with SSID’s acquisition of TechLab, Adelis has restructured its ownership of the group to enable support for the company for many more years to come.
Rasmus Molander, co-managing partner, Adelis Equity Partners, said: “We believe rapid diagnostics and self-testing will continue to change healthcare. The restructuring of our ownership has enabled the acquisition of TechLab, but most importantly also gives the group significant capital for further acquisitions. We already sell molecular diagnostics products, so adding additional products in this segment could be an interesting expansion area. We look forward to supporting SSID for many years to come.”
A joint advantage
With the addition of TechLab, SSID will have a wide portfolio of high-quality gastrointestinal, respiratory, and tropical disease tests to serve its broad network of clinical customers around the world. TechLab will enable SSID to grow quickly in the US, while SSID can accelerate TechLab’s growth in Europe, Southeast Asia and South America. The group will also invest in the expansion of the operations in Virginia, USA.
Daniel Delaney, CEO & president, TechLab, said: “We look forward to continued growth and investment with our new partners, SSID and Adelis Equity Partners, as we further expand the global scope of our products and the development of new technologies.”
The new SSI Diagnostica Group: