Nanotechnology Now

Our NanoNews Digest Sponsors

Heifer International

Wikipedia Affiliate Button

Home > Press > Nanogen to Close Array Business - Will Focus on Two High Growth Product Lines

Abstract:
Nanogen, Inc. (Nasdaq:NGEN), developer of advanced diagnostic products, announced today that the Company plans to close commercial operations of the array business and reduce staff by approximately 20%. Today's announcement follows the decision in September to investigate strategic alternatives for the array business.

Nanogen to Close Array Business - Will Focus on Two High Growth Product Lines

SAN DIEGO, CA | Posted on November 12th, 2007

"Our analysis of alternatives for the array business has not resulted in any financially meaningful opportunities," said David Ludvigson, Nanogen's President and COO. "We have determined that the best way to meet our commitment to improving financial performance for our shareholders is to focus on our real-time PCR and point-of-care testing businesses. Eliminating the investment and operating costs for the array product group will result in an operating expense reduction of approximately $15 million. This significant improvement in the bottom line will be achieved with minimal impact to our revenues."

"The future of our company and our mission to be a leading diagnostics company has not changed with this decision," stated Howard Birndorf, CEO of Nanogen. "The acquisitions we have made in the past three years have given us a good foothold in both the molecular diagnostics labs and the point-of-care rapid testing market. We believe the long term growth prospects for both of these product areas will drive significant future value for the company."

The restructuring resulted in a $6.9 million non-cash charge to third quarter financials for inventory and assets related to the array business. An additional cash charge of approximately $2.5 million is anticipated in the fourth quarter related to employee severance costs.

####

About Nanogen, Inc.
Nanogen’s advanced technologies provide researchers, clinicians and physicians worldwide with improved methods and tools to predict, diagnose, and ultimately help treat disease. The company's products include real-time PCR reagents and kits based on the Company’s proprietary MGB Eclipse® probe technology and a line of rapid point-of-care diagnostic tests used in urgent care settings to aid in the diagnosis of heart failure conditions. Nanogen’s ten years of pioneering research involving nanotechnology holds the promise of miniaturization and continues to be supported for its potential for diagnostic and biodefense applications. For additional information please visit Nanogen’s website at http://www.nanogen.com .

Nanogen Forward-Looking Statement

This press release contains forward-looking statements that are subject to risks and uncertainties that could cause actual results to differ materially from those set forth in the forward-looking statements, including whether restructuring of the array business would reduce operating cost and improve financial performance, whether acquisitions of other businesses would result in revenue growth in the real-time PCR and point-of-care testing market, and other risks and uncertainties discussed under the caption "Factors That May Affect Results" and elsewhere in Nanogen’s Form 10-K or Form 10-Q most recently filed with the Securities and Exchange Commission. These forward-looking statements speak only as of the date hereof. Nanogen disclaims any intent or obligation to update these forward-looking statements.

For more information, please click here

Contacts:
Nanogen, Inc.
Robert Saltmarsh
Chief Financial Officer
858-410-4600
or
Kelly Gann
Marketing Communications
858-410-4667

Copyright © Business Wire 2007

If you have a comment, please Contact us.

Issuers of news releases, not 7th Wave, Inc. or Nanotechnology Now, are solely responsible for the accuracy of the content.

Bookmark:
Delicious Digg Newsvine Google Yahoo Reddit Magnoliacom Furl Facebook

Related News Press

Nanomedicine

UTSA study describes new minimally invasive device to treat cancer and other illnesses: Medicine diffusion capsule could locally treat multiple ailments and diseases over several weeks December 3rd, 2016

Nanobiotix Provides Update on Global Development of Lead Product NBTXR3: Seven clinical trials across the world: More than 2/3 of STS patients recruited in the “act.in.sarc” Phase II/III trial: Phase I/II prostate cancer trial now recruiting in the U.S. November 28th, 2016

From champagne bubbles, dance parties and disease to new nanomaterials: Understanding nucleation of protein filaments might help with Alzheimer's Disease and type 2 Diabetes November 24th, 2016

Nanopolymer-modified protein array can pinpoint hard-to-find cancer biomarker November 17th, 2016

Announcements

Shape matters when light meets atom: Mapping the interaction of a single atom with a single photon may inform design of quantum devices December 4th, 2016

UTSA study describes new minimally invasive device to treat cancer and other illnesses: Medicine diffusion capsule could locally treat multiple ailments and diseases over several weeks December 3rd, 2016

Novel Electrode Structure Provides New Promise for Lithium-Sulfur Batteries December 3rd, 2016

Research Study: MetaSOLTM Shatters Solar Panel Efficiency Forecasts with Innovative New Coating: Coating Provides 1.2 Percent Absolute Enhancement to Triple Junction Solar Cells December 2nd, 2016

NanoNews-Digest
The latest news from around the world, FREE




  Premium Products
NanoNews-Custom
Only the news you want to read!
 Learn More
NanoTech-Transfer
University Technology Transfer & Patents
 Learn More
NanoStrategies
Full-service, expert consulting
 Learn More











ASP
Nanotechnology Now Featured Books




NNN

The Hunger Project