Carlsbad-based life sciences company Invitrogen Corp. announced Monday it would buy privately owned antibody and reagents company Caltag Laboratories for $20 million in cash.
Invitrogen’s stock, which trades on the Nasdaq, rose 74 cents to $77.60 in early morning trading following the news.
Earlier this year, the company added 3,000 antibodies and related products through its $60 million buy-out of Zymed Laboratories Inc.
“Caltag’s expertise in producing antibodies and reagents for flow cytometry applications adds another key capability to Invitrogen’s proteomics portfolio,” said Gregory Lucier, Invitrogen’s chairman and chief executive officer.
Caltag has about 50 employees. They will remain in the San Francisco area as part of Invitrogen’s “antibody center of excellence,” the company said May 16.
Caltag is expected to generate sales of about $10 million in the 12 months following the acquisition, Invitrogen said.
Invitrogen said it expects the deal to be neutral to 2005 pro forma earnings per share and 2 cents accretive in 2006.
The deal is expected to close by the end of the second quarter.