Quest To Acquire Focus Diagnostics

Quest Diagnostics, Inc. has agreed to acquire Focus Diagnostics, Inc., an infectious disease testing provider, for approximately $185 million in cash. Focus Diagnostics is based in Herndon, VA. The acquisition will add annual revenues of approximately $65 million.

Focus Diagnostics is a portfolio company of private equity firms DLJ Merchant Banking and The Sprout Group. Excluded from the transaction is Focus Bio-Inova, Focus Diagnostics’ pharmaceutical testing operation. The transaction is expected to be completed during the third quarter of this year.

“Focus Diagnostics has been recognized worldwide for its leadership in infectious and immunologic diseases and its expertise in developing new diagnostics,” said Surya N. Mohapatra, Ph.D., chairman and chief executive officer of Quest Diagnostics. “Focus Diagnostics will further expand our capabilities and strengthen our position as the leading provider and developer of esoteric tests to hospitals and physicians.”