EAGAN, Minn., Nov. 8, 2010 /PRNewswire-FirstCall/ — CardioNet,
BEAT), a leading wireless medical technology company with an
initial focus on the diagnosis and monitoring of cardiac
arrhythmias, announced today that the Company entered into a
definitive merger agreement with Biotel, Inc. (OTC Bulletin Board:
BTEL) (“Biotel”) to acquire all of the outstanding shares of
Biotel for $11 million, or $3.84 per share, before adjustments for
working capital. In connection with the merger agreement, the
parties entered into a settlement agreement to dismiss the
outstanding litigation between them, which will be effective as of
the close of the merger.
The acquisition of Biotel, and the addition of its Braemar
subsidiary’s wireless event monitor to the Company’s product
portfolio, enhances CardioNet’s position in the field of wireless
medicine. The acquisition is also expected to provide entry
into the clinical services market through Biotel’s subsidiary,
Agility Centralized Research Services. Agility provides
event, Holter and twelve-lead ECG monitoring services to the
medical device and pharmaceutical industries as well as to contract
research and academic research organizations worldwide.
Under the terms of the merger agreement, CardioNet will acquire
all of the outstanding shares of Biotel common stock for cash.
The transaction is subject to approval by Biotel’s
shareholders and other customary closing conditions.
CardioNet and Biotel expect the transaction to close by
December 31, 2010.
Joseph H. Capper, President and Chief Executive Officer of
CardioNet, said, “We are pleased to announce this acquisition and
the settlement of our litigation with Biotel. They are an
excellent fit for CardioNet with their wireless event moni