Repligen acquired the business of Refine Technology, including Refine's Alternating Tangential Flow (ATF) System, a leading cell-retention device used to significantly increase product yield during the fermentation step of the biologic-drug manufacturing process. The acquisition strengthens Repligen's bioprocessing business by adding a profitable and highly complementary product line while expanding its direct sales presence worldwide.
The purchase involves a combination of $20.5 million in cash and 215,285 shares of Repligen common stock, for total upfront consideration of approximately $24.5 million. The agreement also includes contingent milestone payments of up to $8.75 million based on defined revenue targets through the year 2016, a capped royalty provision of up to $2.15 million for above-target sales during the same period. The company expects ATF System sales to add approximately $3.5-4.0 million in revenue for the remainder of the year 2014.