EXHIBIT 99.1
September 7, 2000
BIOSOURCE INTERNATIONAL, INC. NAMES NEW SENIOR MANAGEMENT
BIOSOURCE INTERNATIONAL, INC. NAMES NEW SENIOR MANAGEMENT
- GENSTAR AND NEW MANAGEMENT TO INVEST ADDITIONAL $5.3 MILLION -
CAMARILLO, Calif., Sept. 7 -- BioSource International, Inc., (Nasdaq: BIOI)
today announced that it has installed a new senior management team. The company
has named Russell D. Hays, 55, as Chairman of the Board, President, and Chief
Executive Officer and George Uveges, 52, as Chief Operating Officer, effective
September 18th. Mr. Hays will succeed James H. Chamberlain, 52, Founder,
Chairman of the Board, President and Chief Executive Officer of BioSource, who
is retiring after eleven years with the company. Mr. Uveges will succeed Gus
Davis, 52, Chief Operating Officer, who is also retiring.
"Jim Chamberlain and Gus Davis have done a great job building BioSource into a
leading player in life sciences and the Board and I would like to thank them for
their hard work and dedication," commented J-P Conte, Managing Director of
Genstar Capital LLC and Director of BioSource." Russ Hays and George Uveges are
a proven and talented management team with an outstanding track record in the
life sciences industry. The Genstar team worked closely with Russ and George
during their tenure at NEN Life Sciences, Inc. -- the best investment in the
history of Genstar. As a result of their success and leadership at NEN, we
actively recruited them to lead BioSource to accelerate the Company's growth.
One of our most important objectives going forward is to grow the company
through new product development, acquisitions and alliances that increase
shareholder value. To that end, Genstar Capital will invest an additional $4.5
million in BioSource, raising its total commitment to $24.8 million, $10 million
of which is represented by an outstanding warrant. These are exciting times in
life sciences and drug discovery research and we are confident with Russ and
George at the helm, the company will capitalize on the exciting and new
developments in the biotechnology sector."
Additionally, Mr. Conte noted, "Both Russ Hays and George Uveges will be making
an investment in BioSource in the amount of $850,000. These investments are
demonstrative of their confidence in BioSource and the abilities of the Hays,
Uveges and Genstar Team. Mr. Hays and Genstar will be purchasing stock from the
Company in a private transaction at a purchase price of $15.00 per share, which
was the closing sale price of BioSource's common stock on August 9, 2000, the
day prior to the execution of their agreement to invest. Mr. Uveges will be
purchasing common stock from the Company in a private transaction at a purchase
price of either $21.875 per share, the closing sale price of BioSource's common
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stock on September 5, 2000, (the day prior to the execution of his agreement to
invest), or the price of the stock on Sept 18, 2000, whichever is lower. Mr.
Hays comes to BioSource from NEN Life Sciences, Inc., a $125 million a year
corporation in proprietary research reagent systems in drug discovery research,
where he served as President and Chief Executive Officer. Under his stewardship,
the company successfully completed a strategic sale to PerkinElmer, Inc. Prior
to joining NEN Life Sciences, Mr. Hays served as President and Chief Executive
Officer of ReSound Corporation, and as President and Chief Executive Officer of
Enzytech, Inc., where the company focused on the commercialization of two
proprietary platform drug delivery technologies.
"I am pleased to join BioSource and welcome the opportunities that lie ahead,"
commented Mr. Hays. "I look forward to working with and adding to the BioSource
team. I am confident we will conceive and implement the optimal strategic focus
and execution necessary to maximize shareholder value. I welcome the
opportunity."
Mr. Uveges comes to BioSource from NEN Life Sciences, Inc., as well. While at
NEN, Mr. Uveges served as Senior Vice President and Chief Financial Officer,
where he was responsible for finance, treasury and legal, and information
technology. Prior to joining NEN Life Sciences, Mr. Uveges served as Chief
Financial Officer and Vice President of Administration of Gelman Sciences, Inc.,
Chief Financial Officer, Treasurer and Vice President of Administration for G.I.
Plastek, and Corporate Controller, Treasurer and Chief Accounting Officer of
Invacare Corporation.
"I am proud of what we have been able to accomplish and of all the great people
I have had the opportunity to work with over the years," said Mr. Chamberlain.
At this stage however, I have decided to bring in this team to take BioSource to
the next level. I could not be more pleased that Russ Hays and George Uveges are
joining the company. I look forward to assisting them in anyway possible as they
join BioSource to continue its growth and development."
BioSource expects to take a pretax charge of approximately $6.2 million (with
$1.9 and $4.3 million in cash and non-cash charges, respectively), as a result
of costs related to the change in management. The third quarter charge will be
$1.5 million (with $1.1 million and $400,000 in cash and non-cash charges,
respectively) or 13 cents per share. The balance of $4.7 million relates to
relocation expenses, which will be expensed as incurred, and compensation
expense to be recorded for stock options. The stock option agreements with the
new executives will result in a non-cash charge of approximately $250,000 per
quarter over the four year vesting period of the options. The estimated amount
of the non-cash charges are based on a BioSource closing stock price of $24.50
dollars, as of September 6, 2000. The actual amount of the non cash charges will
be based on the closing price of BioSource stock on September 18, 2000, the date
the executives begin employment.
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About BioSource International, Inc.
BioSource International, Inc. supplies the worldwide biomedical research
community with ELISA test kits, immunological reagents such as antibodies,
proteins, growth factors, media buffers, seras, etc. as well as a custom
business which produces oligonucleotides, peptides and antibodies used to aid
studies of the biochemistry, immunology and cell biology of the human body.
These products help scientists and physicians to better understand aging,
cancer, arthritis and other inflammatory diseases, AIDS and sexually transmitted
diseases. With over 3,000 customers, including the National, Institutes of
Health, Schering-Plough, Harvard Medical School, Eli Lilly, Genentech and Amgen.
The Company focuses its sales efforts on academic, industrial and governmental
laboratories. Additional information is available on the companies website at
http://www.BioSource.com.
About Genstar Capital LLC
Genstar Capital is a private-equity investment firm that makes leveraged
investments in quality companies. Genstar Capital works in partnership with
management to create value over the long-term and has more than $350 million of
committed capital under management. Genstar Capital brings a unique mix of
experience to portfolio companies, and invests in select industries including
the life sciences, with a specific interest in enabling tools and technologies
for drug discovery research. Additional information is available on the
companies website at http://www.gencap.com.
Safe Harbor
This release may contain forward looking statements that involve risks and
uncertainties including risks described from time to time in reports filed by
BioSource International, Inc. with the Securities and Exchange Commission,
including its most recently filed Annual Report on Form 10-K. SOURCE BioSource
International, Inc.
CONTACT: Hope Sidman, 212-521-4870, [email protected], for BioSource
Web site: http://www.BioSource.com
