Instem acquires life sciences software firm PDS Pathology Data Systems

IT solutions company Instem has acquired life sciences software firm PDS Pathology Data Systems for CHF 14.25m (£11.4m).

Instem said on Wednesday that the acquisition, which will be satisfied by a combination of cash and ordinary shares, would further extend its study management and SEND market share and also deepen its relationship with some of its larger clients.

The AIM-listed firm also pointed to opportunities for competing product and service rationalisation and highlighted that the addition of PDS to the wider group was expected to be immediately earnings enhancing.

Chief executive Phil Reason said: "We are delighted to have completed our third acquisition of 2021 which, along with the Company's strong organic growth, ensures that Instem is positioned as the foremost authority and driving force in generating, analysing and leveraging data from discovery through late-stage clinical trials.

"We have known the team at PDS for many years and are well aware of their industry standing. We have spoken on several occasions about a potential combination and are delighted that they have agreed to join us at Instem, at a time when both of our businesses and the life sciences market are thriving. We look forward to integrating the business and benefiting from the scale and increased reach that will further cement our leading market position."

As of 1015 BST, Instem shares were up 1.52% at 802.0p.