Orlando, FL 6/4/12 (StreetBeat) -- MEDTOX Scientific, Inc. (Nasdaq:MTOX), a provider of high quality specialized laboratory testing services and on-site/point-of-collection testing (POCT) devices, today announced that it had entered into a definitive merger agreement with Laboratory Corporation of America(R) Holdings (NYSE:LH). Under the terms of the agreement, LabCorp would acquire MEDTOX for a purchase price of $27.00 per share in cash, representing a total enterprise value of approximately $241,000,000. The board of directors of MEDTOX unanimously approved the agreement and recommended approval of the transaction by MEDTOX's shareholders.
"This transaction highlights the fundamental value of the MEDTOX brand, the talent and expertise of our team and the quality of our products and testing services," said Dick Braun, Chairman and Chief Executive Officer of MEDTOX. "As part of LabCorp with its substantial resources and infrastructure, we expect to accelerate MEDTOX's profitable growth and provide a stable and sustainable environment for our employees and clients."
"We are extremely pleased that MEDTOX, a premier forensic and clinical laboratory with a reputation for exceptional quality, dependability and customer service is joining our family," said David P. King, Chairman and Chief Executive Officer of LabCorp. "MEDTOX is an industry leader in specialized toxicology testing. This acquisition provides a strong foundation for growth in this business, as we build and expand LabCorp's Toxicology Center of Excellence and add to the unrivaled assets of the LabCorp Specialty Testing Group."
The transaction is subject to customary closing conditions including the expiration or early termination of the waiting period under the Hart-Scott-Rodino Antitrust Improvements Act of 1976, as amended, and approval by MEDTOX's stockholders. The transaction is expected to close in the third quarter of 2012.
Leonard, Street and Deinard is acting as legal advisor and Lazard Middle Market is acting as financial advisor to MEDTOX.
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