HYCOR BIOMEDICAL INC

HYCOR BIOMEDICAL INC

Previous company name
HYBRIDOMA SCIENCES INC
Name change date
8/13/1986
Company Overview
Hycor Biomedical Inc, formerly known as Hybridoma Sciences Inc, is a United States-based company engaged in the manufacture, design, development and distribution of medical diagnostic products to clinical laboratories throughout the world. It focuses on allergy and autoimmune testing and urinalysis products. The company was founded in 1981 as a Research & Development company. Its registered business office is based in Garden Grove, California. Its annual operating revenue or turnover is 19.8 million USD. It also operates with a local registry filing as its filing type.
In June 2007, Hycor Biomedical was acquired by Agilent Technologies, the world’s premier measurement company and world’s leading provider of instrumentation, supplies, software and services to life science and chemical analysis markets.
Business Summary
Hycor Biomedical Inc. is engaged in the research, development, manufacturing and marketing of medical diagnostic products, with a focus on allergy and autoimmune testing and urinalysis products, throughout the United States and many foreign countries. The Company operates in only one segment through its two wholly owned subsidiaries, Hycor Biomedical GmbH (Hycor GmbH), located in Kassel, Germany, and Hycor Biomedical, LTD (Hycor Ltd.), formally known as Cogent Diagnostics Limited, located in Edinburgh, Scotland. Hycor GmbH primarily packages and distributes allergy diagnostic products in Europe. Hycor Ltd. develops, manufactures and markets a line of test kits for the diagnosis of autoimmune disease. While the Company offers a range of items for sale, many are manufactured at common production facilities. In February 2010, Linden LLC acquired Hycor Biomedical Inc. from Agilent Technologies, Inc.
Description and history
Hycor Biomedical Inc. is engaged in the research, development, manufacturing and marketing of medical diagnostic products, with a focus on allergy and autoimmune testing and urinalysis products, throughout the United States and many foreign countries. The Company operates in only one segment through its two wholly owned subsidiaries, Hycor Biomedical GmbH (Hycor GmbH), located in Kassel, Germany, and Hycor Biomedical, LTD (Hycor Ltd.), formally known as Cogent Diagnostics Limited, located in Edinburgh, Scotland. Hycor GmbH primarily packages and distributes allergy diagnostic products in Europe. Hycor Ltd. develops, manufactures and markets a line of test kits for the diagnosis of autoimmune disease. While the Company offers a range of items for sale, many are manufactured at common production facilities. In February 2010, Linden LLC acquired Hycor Biomedical Inc. from Agilent Technologies, Inc.

On July 24, 2003, the Company announced the execution of an Agreement and Plan of Reorganization by and among Stratagene; SHC Acquisition Sub, Inc., a wholly owned subsidiary of Stratagene, and the Company. Pursuant to the merger agreement, Stratagene would acquire all of the outstanding shares of the Company through a merger between SHC Acquisition Sub and the Company. The Company will survive the merger as a wholly owned subsidiary of Stratagene.

Hycor’s Allergy and Autoimmune product lines include the HYoTEC 480 and HYoTEC 288 automated diagnostic systems, which provide clinical laboratories with significant productivity improvement capabilities. The HYoTEC systems include the instruments, software and test reagents necessary to perform allergy and autoimmune testing. The Company places a large percentage of the HYoTEC systems on a reagent rental basis. A reagent rental transaction, common to the diagnostic market, involves the placement of an instrument in the laboratories of customers that pay for the system over an agreed contract period through the purchase of test reagents. The Company’s HYoTEC reagent rental program is similar in that instruments are typically placed in use with direct customers and paid for over an agreed contract period through the purchase of test reagents, but also includes the sale of some instruments to distributors and direct customers.

Clinical laboratories and certain specialty physicians are primary users of the Company’s products. In the United States, Hycor’s product lines are generally sold through both independent and clinical laboratory distributors. The majority of sales in the United States are to Cardinal Health Corporation (formerly Allegiance Healthcare Corporation) and Fisher Scientific, two major United States distributors. The allergy product line is sold directly to the end user through the Company’s direct sales force. In foreign countries, the Company’s products are sold primarily through a network of independent distributors. It sells its allergy and autoimmune products to the German and United Kingdom market through a direct sales force. Projects in progress are focused on programs to support and enhance the HYoTEC diagnostic system. In addition, during 2003, Hycor entered into development agreements with Bayer Healthcare LLC and Beckman Coulter, Inc. to adapt its autoimmune tests to their automated immunoassay system.

Export sales (all to unaffiliated customers) represented approximately 10% of total consolidated sales in 2003, 2002 and 2001. The Company’s two largest distributors, Cardinal Health Corporation and Fisher Scientific, each accounted for 14% of net product sales in 2003; 18% and 16% of net product sales in 2002, and 22% and 13% of net product sales in 2001, respectively.

Allergy Diagnostic Products

The allergy diagnostic product line accounted for approximately 40%, 35% and 29% of revenues for 2003, 2002 and 2001, respectively. It is a line of RIA (radioimmunoassay) and EIA (enzymatic immunoassay) procedures to test for specific allergies to more than 1000 different allergens, such as grasses, weeds, trees, epidermals (animal hair), dust, dust mites, molds and foods. General screening tests are also available. Unlike the traditional prick puncture and intradermal testing methods of diagnosing allergies, the Company’s products permit a physician to diagnose allergies by testing a sample of the patient’s blood for the presence of the specific Immunoglobulin E or Immunoglobulin G antibody, which reacts with the corresponding allergen. This method has many advantages over the traditional methods of allergy diagnosis, not the least of which is patient comfort.

Pharmacia, Inc. and Diagnostic Product Corporation have products that compete with the Company’s allergy diagnostic products.

Autoimmune Diagnostic Products

The Company’s autoimmune diagnostic product line accounted for approximately 9%, 8% and 9% of revenues in 2003, 2002 and 2001, respectively. It includes tests utilized for the diagnosis and monitoring of autoimmune disorders such as rheumatoid arthritis and systemic lupus erythematosus, among others. Autoimmune diseases may be systemic or organ-specific, and the need for this type of diagnostic testing is expected to increase as the population ages and primary care physicians are educated about autoimmune diseases. Hycor’s tests are based on enzyme immunoassay technology in a microplate format. Unlike traditional methods like immunofluorescence, which requires a dedicated and highly trained technologist to read slides manually through a microscope one at a time, the Company’s products can be automated either on its HYoTEC instruments or on general microplate processors.

The KOVATM Microscopic Urinalysis System

This product line accounted for approximately 47%, 52% and 56% of net sales for 2003, 2002 and 2001, respectively. The KOVA System provides laboratories with the capability to perform uniform and reliable microscopic analyses of urine specimens. It is composed of plastic collection containers, tubes and pipettes, patented microscopic slides and human urine-based control materials.

Formerly known as Hybridoma Sciences Inc; Founded as a Research & Development company

Business Line
Engaged in the manufacture, design, development and distribution of medical diagnostic products to clinical laboratories throughout the world
Subsidiary
BIO CREST B.V.
Advisor
DELOITTE & TOUCHE LLP
IPO date

US SIC Code
2835
Company Address
7272, Chapman Avenue

City province or state postal code
92841, GARDEN GROVE, CA
Phone: +1 714 933 3000
Fax: +1 714 440 2222
Country address: UNITED STATES OF AMERICA
Website url: www.hycorbiomedical.com