Exhibit 99.1
FOR IMMEDIATE RELEASE
Contact: Peter J. Pizzo, III
Chief Financial Officer
(404) 296-5595
SEROLOGICALS AGREES TO SELL NON-SPECIALTY BUSINESS
ATLANTA (May 31, 2000) - Serologicals Corporation (Nasdaq/NM: SERO) today
announced that it has signed a definitive agreement to sell substantially
all of the assets of its Seramed, Inc. subsidiary, which operates its 47
non-specialty donor centers, to Aventis Bio-Services, Inc., a wholly owned
subsidiary of Aventis Behring L.L.C. The purchase price is approximately
$20 million in cash at closing; Serologicals will retain the working capital
of approximately $16 million. Completion of the transaction is subject to
customary closing conditions, including applicable regulatory review. The
Company anticipates closing in June or July of this year. First Union
Securities advised Serologicals in the transaction.
Desmond H. O'Connell, Jr., Chairman of the Board of Directors, said,
"This announcement follows our previously announced plans to pursue the
possible divestiture of our non-specialty centers. The sale of this portion
of our business represents a very significant event in our plans of reshaping
the Company for long-term growth. Although the divestiture would immediately
reduce our size in terms of revenues, it will allow us to focus on our higher
margin, more profitable specialty antibody, diagnostic and bioscience
businesses. We are also very pleased to have entered into this agreement with
Aventis, who has been and will continue to be a very important customer of our
specialty therapeutic antibody products."
The donor centers that are being sold generated approximately $62 million
of Serologicals' total revenues of approximately $130 million in 1999. The
Company will continue to own and operate its 17 specialty donor centers that
operate under the Serologicals name, as well as its diagnostic and bioscience
operations.
Serologicals Corporation, headquartered in Atlanta, is a leading
worldwide provider of biological materials and services to major healthcare
companies. The Company provides value-added antibody-based products that
are used as the active ingredients in therapeutic products for the treatment
and management of diseases such as Rh incompatibility in newborns, rabies
and hepatitis and in diagnostic products such as blood typing reagents and
diagnostic test kits. Additionally, the Company, through its protein
fractionation facility, provides a variety of proteins used in the
manufacturing of diagnostic reagents and tissue culture media components
for use as additives in biotech products.
This release may contain certain forward-looking statements within the
meaning of the Private Securities Litigation Reform Act of 1995 including,
without limitation, statements regarding: the closing of the divestiture;
Aventis remaining a customer and the future focus of the Company. These
forward-looking statements are subject to certain risks, uncertainties
and other factors, including satisfaction of all closing conditions,
including regulatory review and approval. Additional information on factors
that could potentially affect the Company or its financial results may
be found in the Company's filings with the Securities and Exchange
Commission.
Serologicals is a registered trademark of Serologicals Royalty Company.
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