MDS media backgrounder
05 October 2006 - 10:04PM
PR Newswire (US)
TORONTO, Oct. 5 /PRNewswire-FirstCall/ -- Quick Facts on MDS Inc: -
This global life sciences company has US$1 billion in revenues. It
is headquartered in Toronto, Canada. - MDS is a global leader in
providing products and services used to develop new drugs and
technologies to diagnose, prevent and treat diseases. - MDS
operates in 28 countries with its end markets growing 7% - 10%
annually. - The company expects to generate more than 95% of its
revenues from global markets by the end of this fiscal year. - It
has three business units with market leading positions. They are
MDS Nordion, MDS Sciex and MDS Pharma Services. - MDS products and
services reach people in more than 90 countries around the world. -
MDS will have over 5,800 employees after the diagnostics
transaction is completed. Over 1,300 of those employees are at MDS
locations in the United States. Background: MDS is making changes
to position itself as a leader in global life sciences markets. The
sale of MDS Diagnostic Services is the latest in a series of steps
that support a new growth strategy launched last year. This
strategy called for MDS to focus exclusively on opportunities
within the fast growing life sciences markets served by the
Company's three core businesses, MDS Pharma Services, MDS Nordion
and MDS Sciex. These businesses are global market leaders in
pharmaceutical contract research, molecular imaging,
radiotherapeutics and analytical instrumentation. Here's a snapshot
of what they do and their market opportunities: MDS Pharma Services
is a leading contract research organization that provides drug
discovery and development services to pharmaceutical and biotech
companies. It operates in an estimated US$15 billion market that is
growing 10% - 14% annually. - It is a leading provider of
early-stage drug development services. - It supports drug
development and discovery in 26 countries around the world. - With
more than 1,000 clinical trial beds, MDS Pharma Services has the
largest early clinical research capacity in the industry. - It was
recently recognized as the top contract research organization in
Europe by Thomson CentreWatch. MDS Nordion is a leader in medical
isotopes, radiotherapeutics and related technologies used to
diagnose, prevent and treat disease. It is operating in an
estimated US$2.8 billion market that is growing 5% - 8% a year.
This growth is being generated by demands from patients for quicker
diagnosis and more effective therapies for cancer and other health
conditions. To help meet those demands, MDS Nordion is developing
innovative diagnostic imaging and radiopharmaceuticals. - MDS
Nordion now supplies more than half of the world's medical
isotopes. - It is a global leader in the development and
manufacture of radiotherapeutics. - MDS Nordion technology is also
used to sterilize products such as bandages, contact lens solution
and cosmetics. It is also being used to sterilize more than 40% of
medical devices and supplies and an estimated 80% of all surgical
gloves in the world. MDS Sciex is a leading manufacturer of
sophisticated analytical instruments for drug discovery, life
science and industrial applications. It operates in an estimated
US$3 billion market with 8% - 11% growth rates. As pharmaceutical
and biotech companies shift to targeted drug development programs,
MDS Sciex is meeting their demand for mass spectrometers. - MDS
Sciex is a leader in developing new instruments tailored to meet
the very specialized needs of researchers. - In clinical research,
these highly analytical instruments help researchers to uncover the
cause of disease and analyze proteins for the development of new
medicines. In applied markets, they are used to test water, food
and soil for contamination. - MDS Sciex instruments are distributed
to 56 countries. - The mass spectrometers produced at MDS Sciex are
so sensitive that they can detect a pinch of salt in a body of
water equal to 12 Olympic sized swimming pools. With three leading
life sciences businesses, MDS is well positioned to grow. Over the
past year, MDS has executed on its strategy focused on life
sciences by taking the following steps: - MDS Pharma Services
closed non core sites in Munich and Geneva. - MDS has sold its non
strategic assets, starting with the sale of Source Medical last
November, followed by the sale of both Capital Corp. retail fund
and the Pharma fermentation business in December 2005. - The
Company has streamlined its infrastructure by eliminating duplicate
layers and reducing workforce by 700, mostly senior and middle
management. These reductions were completed in December 2005. - MDS
has redefined "corporate". It now has a smaller headquarters more
focused on strategy, capital allocation, operating performance
improvements, talent management, and compliance. - MDS sold its
interest in Calgary Laboratory Services in April of this year. -
David Spaight was hired as President of Pharma Services. He has
over 20 years of experience in the life sciences industry and is
making changes to sharpen the focus of this business unit. - MDS
sold non-core MDS Pharma Services units in Tampa in May, in Lincoln
in July and Blainville in August of this year. - MDS announced the
sale of MDS Diagnostic Services on October 5th, 2006 to Borealis
Infrastructure Management Inc. for CAD $1.3 billion. This
transaction is an important milestone in the company's strategic
transition to a global life sciences company. DATASOURCE: MDS Inc.
CONTACT: Investors: Sharon Mathers, Vice-President, Investor
Relations and External Communications, MDS Inc., (416) 675-6777 x
4721, ; Media: Catherine Melville, Director, External
Communications, MDS Inc., (416) 675-6777 x 2265,
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