Icon to buy trial division of CCH

Pharmaceutical services company Icon has agreed to acquire the clinical trials division of US group Cross Country Healthcare for an initial cash consideration of $52m (€38.3m).

The Irish company, which delisted from the Iseq in November to take a full listing on New York’s Nasdaq exchange, is likely to end up paying nearly $56m for the Florida-based business, as there is an additional $3.75m payable depending on performance-based milestones being met by CCH in the near-term.

Icon expects the takeover to be completed in 30 days.

The acquisition will expand Icon’s global resourcing, functional service provision (FSP) and safety capabilities. It will give it control of CCH’s ClinForce and Assent Consulting units, two of the US’s leading resourcing providers. Their services include contract staffing, permanent placement, and FSP. The new business also includes Akos, a US and EU provider of pharmacovigilance and drug safety services.

The latter business will enhance the services already offered by Icon’, while the ClinForce and Assent units will be combined with Icon’s FSP division, DOCS.

“The demand for flexible resourcing solutions continues to grow, as biopharma companies employ a range of outsourcing models to meet their development goals more efficiently,” said Icon’s chief executive, Ciaran Murray, yesterday.

“The ClinForce and Assent businesses will significantly expand our resourcing and FSP capabilities in the US and, when combined with DOCS’ strong European footprint and growing emerging markets presence, gives us the ability to deliver truly global resourcing solutions.

“Additionally, Akos enhances our expertise in the areas of pharmacovigilance and drug safety consulting, which are increasingly important capabilities required by our clients.”