Ergomed buys two German service companies

Ergomed, a British pharmaceutical development services company, said on Monday, it had bought two German service providers to complement and enhance its existing capabilities, and increase its presence in Germany.

The company acquired Dr. Oestreich + Partner GmbH (O+P), a full service contract research organisation based in Cologne and Gesellschaft für angewandte Statistik + Datenanalyse mbH (GASD), a specialist statistics and data management company based in Neuss from their founders.

The combined revenue of O+P and GASD was about $1.3m in 2015 and transaction is expected to be earnings enhancing.

Ergomed will issue 138,329 ordinary shares at 137p on Tuesday 14 at 8am to finance part of the acquisition, bringing its total issued share capital to 39,864,230. The company holds no treasury shares.

Dr. Miroslav Reljanovic, Ergomed chief executive said: "Both of these bolt-on acquisitions are very much in line with the strategy we laid out at IPO [initial public offering] for augmenting the growth of our services businesses.

“They immediately add significant, tangible value including a proprietary Electronic Data Capture system, OPVERDI which will be developed further especially in the area of post-marketing data collection”.

Dr. Wolfgang Oestreich, O+P managing director and co-founder added: "We too are looking forward to joining forces with the Ergomed group to expand our German and neighbouring markets as well as to develop further our proprietary EDC system, OPVERDI."

Dr. Hans-Peter Hucke, GASD managing director and co-founder said that their 24 years of experience can add depth to Ergomed's data management capabilities.