August 09, 2021 04:02 PM Eastern Daylight Time
TEMPLE CITY, Calif.–(BUSINESS WIRE)–Fulgent Genetics, Inc. (NASDAQ: FLGT) (“Fulgent” or the “Company”), a technology-based genetic testing company focused on transforming patient care in oncology, infectious and rare diseases, and reproductive health, today announced that it has acquired CSI Laboratories (“CSI”) to expand its presence in somatic molecular diagnostics and cancer testing.
CSI was founded in 1997 to provide a client- and patient-focused model of cancer diagnostic testing for pathologists, community hospitals, and their patients. CSI offers more than 400 unique tests with a focus on oncology and capabilities across flow cytometry, cytogenetic analysis, fluorescence in-situ hybridization (“FISH”), immunohistochemistry, and molecular genetics. CSI’s philosophy of providing expert diagnostic testing with speed, precision, and care, is highly complementary with Fulgent’s core value proposition of offering a broad menu of actionable diagnostic tests with quality results and rapid turnaround time.
Strategic Rationale:
– Expansion into somatic genetic testing market, which is expected to grow to $16.8 billion by 2030
– Realize synergies by leveraging Fulgent’s best-in-class technology and Next Generation Sequencing (“NGS”) expertise in new oncology markets
– Geographic expansion of CSI’s reach beyond the Southeastern part of the United States
With the acquisition of CSI, Fulgent will significantly expand its capabilities in molecular diagnostics and oncologic testing. Fulgent will leverage its established technology platform, NGS expertise, lab operations, and sales infrastructure in conjunction with CSI’s extensive cancer testing menu to establish a differentiated foothold in oncologic testing in the United States. The combination of CSI’s extensive molecular diagnostics test menu and Fulgent’s NGS expertise, given its proprietary technology platform, will create a novel, comprehensive cancer testing solution for customers across the United States.
Fulgent’s Chief Medical Officer, Dr. Larry Weiss, will oversee the integration of CSI’s capabilities into Fulgent’s platform and the future operations of the company’s oncologic testing efforts. Fulgent expects to bolster the scale of CSI’s offerings with a new state-of-the-art cancer testing laboratory in California, which it believes will complement CSI’s existing operations in Alpharetta, Georgia.
“We are extremely excited to add CSI Laboratories’ expertise and team to the Fulgent family,” said Ming Hsieh, Chairman and CEO of Fulgent. “Their high standards for test quality and customer service fit extremely well with our values and culture at Fulgent. We look forward to adding their extensive oncologic and molecular diagnostic testing capabilities to our platform.”
“CSI has an outstanding reputation for providing excellent pathology and oncology services in the southeastern United States. We expect CSI will serve as an anchor to Fulgent’s cancer testing capabilities, bringing their expertise and experience to a national oncologic centered client base, and expanding their broad pathology and molecular offerings by leveraging Fulgent’s leadership in Next Generation Sequencing,” said Dr. Larry Weiss, Chief Medical Officer at Fulgent. “Our vision is to combine Fulgent’s excellence in NGS with the broad, high-quality oncologic testing menu already existing in CSI and bring it to a national client base. We expect the addition of CSI will deliver customers a superior experience relative to competitors who offer one-dimensional NGS testing or broader menus without NGS expertise.”
“This is an exciting day for CSI Laboratories’ team members, clients and patients, and we are excited to join forces with a company that shares our same level of commitment to the cancer community, ” said Ron Ghafary, founder of CSI Laboratories. “We look forward to expanding our cancer testing capabilities on Fulgent’s genomic testing platform and continuing to differentiate ourselves through our expertise, high-quality results and high-touch service model that our clinicians and staff deliver on a daily basis.”
Author / source: Fulgent Genetics / https://www.businesswire.com/news/home/20210809005730/en/Fulgent-Genetics-Announces-Acquisition-of-CSI-Laboratories
