Synexus enters emerging market with $1.5M CRC buy

UK-based clincial trials management company Synexus Clinical Research has entered into a conditional agreement to acquire the entire issued share capital of South Africa's Clinical Research Centers SA for an initial consideration of L810,000 ($1.5 million) plus a maximum deferred consideration of L980,000. The deal is conditional upon approval from the South African Reserve Bank.

This takeover, which is the third since the firm's listing in November 2005, follows its stated strategy to build a multi-country operation. CRC is a site management organization providing clinical trial services, particularly the recruitment and subsequent management of patients into later-stage clinical trials.

According to Synexus, the benefits of the deal are sizeable as the move represents a further opportunity for the company to exploit the growing clinical trials and patient recruitment markets in emerging economies, by taking over a well-established business operating in the same area as its existing activities, and thus complementing its organic growth.