Warnex has initiated a review of various strategic options including partnerships, mergers, or the sale of the company, for its ongoing laboratory services business
The board of directors has created an independent committee to identify and evaluate such options and has mandated an investment banking firm to act as its advisor in this process.
"The board of directors believes in the potential of Warnex's core competencies in laboratory-based services to generate value and long-term growth," said Richard Laferriere, chairman of the board of directors of Warnex.
"However, in light of current market conditions, we believe this process is in the best interest of shareholders and one that reflects strong corporate governance".
"Following the announcement of the planned divestiture of our pathogen detection business, our strategy has been to focus on the profitable laboratory services sector.
"We take great pride in the success of our analytical, bioanalytical and medical laboratory divisions, which have always been profitable and have generated a strong five-year compound annual growth rate of 44%," said Mark Busgang, president and CEO of Warnex.
"We now wish to explore all strategic options for our ongoing business in order to maximise shareholder value.
"We have already received inquiries, which demonstrate the recognition of our leadership in the lab sector and the attractive opportunity that our company presents".
Warnex provides no assurance that the initiation of a process to explore strategic options will result in a transaction.
No decision has been made to enter into any transaction at this time and no timetable has been set for the completion of this process.
The company does not currently intend to disclose developments with respect to the exploration of strategic options unless and until its board of directors has approved a specific transaction.
