W.
CONSHOHOCKEN, PA June 6, 2007 - AKOS Limited, a premier provider
of drug safety/pharmacovigilance regulatory and clinical trial
services headquartered outside of London, England, announced its
sale to Cross Country Healthcare, Inc. (NASDAQ: CCRN), a leading
provider of healthcare staffing services in the United States. Cross
Country acquired all of the shares of privately-held AKOS Limited
for up to $14.0 million USD in cash, consisting of an up-front
payment and potential earn-out payments in 2007 and 2008, based on
performance in these years. The Company expects this acquisition to
be accretive to its 2007 earnings by approximately $0.01 per diluted
share. (For more information, visit
www.akos.co.uk . )
AKOS Limited, conducting business since 1986, serves pharmaceutical
and biotechnology companies in Europe, the United States, Canada and
Asia. AKOS is based approximately 30 miles north of London, England
and strategically located inside what is considered to be the UK's
research triangle that extends outward from London to Cambridge and
Oxford Universities. For its fiscal year ended October 31, 2006,
AKOS Limited had revenue of $5.5 million USD and adjusted EBITDA of
$1.5 million USD.
According to Paul Evans, Managing Director of AKOS Ltd., "We are
delighted to have the opportunity to be part of Cross Country
Healthcare. AKOS's activities in Europe complements fully the drug
safety and clinical trial expertise of Cross Country's clinical
research business in the USA and will provide to its clients greater
opportunities for product development in two of the world's major
markets. The addition of AKOS's specialist regulatory affairs
expertise will also enable the group to support clients in their
dealings with the FDA, EMEA and national authorities. As
pharmaceutical and biotechnology companies look for more expert
support services to assist their international product development,
AKOS, as part of the Cross Country Healthcare clinical research
business, is well placed to fulfill clients' needs."
"This acquisition expands our geographic presence and further
enhances the contract staffing and drug safety service offerings of
our clinical research staffing business," said Joseph A. Boshart,
President and Chief Executive Officer of Cross Country Healthcare,
Inc. "This is an exciting and competitively advantageous step in
further positioning our clinical trials services business to better
serve existing and prospective clients in the global clinical
trials/research marketplace. We look forward to the future
contributions of AKOS and expect that it will not only broaden our
current clinical trials staffing and drug safety capabilities, but
add regulatory expertise for clients seeking compliance with FDA,
ICH and EMEA standards, and also provide European coverage for
clients seeking to conduct clinical trials outside the U.S.," added
Mr. Boshart.
AKOS was represented by Fairmount Partners, a leading investment
bank serving life science. Fairmount assisted the company in
arranging and closing the transaction. Neal McCarthy, Managing
Director of Fairmount Partners commented, It was a great pleasure
working with Paul Evans, the CEO and Founder of AKOS Ltd to find the
ideal partner to leverage their expertise in safety/pharmacovigilance,
regulatory and clinical research. We also enjoyed working again with
the Cross Country team - this is the second time our clients have
chosen Cross Country over all other parties. We are confident that
the acquisition of AKOS will be highly complementary to Cross
Country.
About Cross Country Healthcare
Cross
Country Healthcare, Inc. is a leading provider of healthcare
staffing services in the United States. The Company has a national
client base of over 4,000 hospitals, pharmaceutical companies and
other healthcare providers.