Bruker to Acquire NanoString Technologies for $392.6M in Cash

Original from: genomeweb

NanoString Technologies said on Wednesday after the close of the market that Bruker will acquire substantially all of its assets for approximately $392.6 million in cash. In addition, Bruker will assume certain liabilities from NanoString.

Following the closing of the deal, expected in early May and subject to bankruptcy court approval and other customary conditions, the Seattle-based spatial biology firm will no longer be in bankruptcy proceedings and will be owned by Bruker. 

NanoString filed for Chapter 11 bankruptcy protection in February, in part because of unexpectedly large damages – $31 million – it was ordered to pay to 10x Genomics last November following a patent infringement lawsuit relating to its GeoMx Digital Spatial Profiler. In December, it also announced it was laying off about 9 percent of its workforce as part of cost-cutting measures.

At the time of the bankruptcy filing, the firm said it was exploring "strategic alternatives," including a sale of all or parts of its business. In parallel, it secured a $47.5 million loan from existing noteholders, which it said would be used to restructure and keep its business activities going.

Later that month, a European patent court overturned a preliminary injunction against NanoString, allowing it to resume sales of its CosMx Spatial Molecular Imager in 16 countries in Europe.

Last month, NanoString said it had reached a binding agreement with healthcare investment firm Patient Square Capital, which was going to acquire its assets for $220 million, pending approval from the bankruptcy court, as a so-called "stalking horse" bidder. That agreement, however, allowed for the submission of other offers.

On April 12, Bruker submitted a qualifying bid, and after an auction on April 16, a revised offer representing a 78 percent increase over Patient Square Capital's bid was selected as the winning bid, according to NanoString.

The sale to Bruker will "bring about a swift conclusion of our restructuring process," said NanoString President and CEO Brad Gray in a statement.

For Bruker, the acquisition signifies a deeper dive into the spatial biology market. In 2020, the firm acquired Canopy Biosciences for an undisclosed amount, which launched the CellScape system for high-throughput spatial proteomics in 2022.

For the deal, NanoString is represented by Willkie Farr & Gallagher as counsel, AlixPartners as restructuring advisor, and Perella Weinberg Partners as restructuring investment banker. Bruker is represented by Morgan Lewis & Bockius as counsel and Goldman Sachs as financial advisor.

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Source: Bruker to Acquire NanoString Technologies for $392.6M in Cash