PAREXEL ACQUIRES MAJORITY INTEREST IN CLINICAL PHARMACOLOGY RESEARCH BUSINESS AND BIOANALYTICAL LABORATORY IN SOUTH AFRICA
BOSTON, MA, October 16, 2000 — PAREXEL International Corporation (Nasdaq: PRXL) today announced its purchase of a majority interest in FARMOVS, a leading clinical pharmacology research business and bioanalytical laboratory located in South Africa. PAREXEL acquired the majority interest in the business and related facilities for approximately $3 million. No other terms of the deal were disclosed. This purchase reflects the company’s strategy of expanding existing services in key geographic areas, and follows the company’s recent announcement of the acquisition of a Phase I clinical pharmacology unit in the United Kingdom from GlaxoWellcome.
FARMOVS is a modern custom-designed 71,000 square foot facility, offering a full spectrum of clinical pharmacology research services, including a 93-bed Phase I research unit and bioanalytical laboratories. FARMOVS has 25 years of experience in clinical research, and is located on the campus of the University of the Orange Free State in Bloemfontein. Over the years, FARMOVS has established a worldwide reputation for the quality of its academic research in the clinical and bioanalytical research areas, and currently works closely with a large number of multinational pharmaceutical companies.
“Our collaboration with FARMOVS is part of our strategy to expand our global clinical pharmacology capability”, said Josef von Rickenbach, PAREXEL’s Chairman and Chief Executive Officer. “FARMOVS is a great addition to our network, bringing it to seven facilities, of which five are hospital-based or linked to medical faculties. Through these units, we provide a wide diversity of services, ranging from “first in man” to “proof of concept” studies including healthy volunteers and patients. We are proud of our ability to provide our clients with these scientifically and technologically advanced services, and believe it to be a key differentiator.”
Professor B.H. Meyer, Chief Executive Officer of FARMOVS stated, “We are extremely excited about this collaboration with PAREXEL, which will combine our scientific expertise with PAREXEL’s deep knowledge of clinical development, open up new vistas for the University, and provide a full spectrum of services through this southern hemisphere clinical pharmacology research center.”
PAREXEL is one of the largest contract pharmaceutical outsourcing organizations in the world, providing a broad range of knowledge-based contract research, medical marketing and consulting services to the worldwide pharmaceutical, biotechnology and medical device industries. With a commitment to providing solutions that accelerate time-to-market and peak market penetration, PAREXEL has developed significant expertise in clinical trials management, data management, biostatistical analysis, medical marketing, clinical pharmacology, regulatory and medical consulting, industry training and publishing and other drug development consulting services. The Company’s integrated services, therapeutic area depth and sophisticated information technology, along with its experience in global drug development and product launch services, represent key competitive strengths. Headquartered near Boston, MA, PAREXEL operates in 43 locations throughout 29 countries around the world, and has approximately 4,200 employees.
This release may contain "forward-looking" statements regarding future results and events, including statements regarding expected financial results, future growth and customer demand that involve a number of risks and uncertainties. For this purpose, any statements contained herein that are not statements of historical fact may be deemed forward-looking statements. Without limiting the foregoing, the words “believes”, “anticipates”, “plans”, “expects”, “intends”, and similar expressions are intended to identify forward-looking statements. The Company's actual future results may differ significantly from the results discussed in the forward-looking statements contained in this release. Important factors that might cause such a difference include, but are not limited to, risks associated with: the cancellation, revision, or delay of contracts, including those contracts in backlog; the Company's dependence on certain industries and clients; the Company's ability to manage growth and its ability to attract and retain employees; the Company's ability to complete additional acquisitions and to integrate newly acquired businesses or enter into new lines of business; government regulation of certain industries and clients; competition and consolidation within the pharmaceutical industry; the potential for significant liability to clients and third parties; the potential adverse impact of health care reform; and the effects of exchange rate fluctuations. These factors and others are discussed more fully in the section entitled "Risk Factors" of the Company's Annual Report on Form 10-K for the period ended June 30, 2000.