MIAMI LAKES, Fla., Jan. 26, 2015 (GLOBE NEWSWIRE) -- Erba Diagnostics, Inc. (NYSE MKT:ERB), strengthened its U.S. distribution network by having entered into a new agreement with Government Scientific Source and having strengthened and expanded the scope of an agreement with an existing, nationally, prominent channel partner.
Government Scientific Source, a privately-held and veteran and minority-owned organization, will distribute Erba Diagnostics' hematology product lines, as well as the JAS line of clinical chemistry, to federal, state, and municipal government laboratories in the U.S. The agreement is intended to facilitate and accelerate the complex procurement process and provide access to government testing centers.
The national channel partner, with whom Erba Diagnostics strengthened and expanded its existing agreement, will distribute Erba Diagnostics' Mago® 4S, a high throughput and automated immunoassay system, to large hospitals and reference labs. The Mago® 4S is a proprietary and scalable system that may be tailored to, and ideally suited for, all size testing labs. The sale or placement of each instrument creates an ongoing revenue stream for Erba Diagnostics by allowing the labs to test patients with a full line of autoimmune and infectious disease products which the labs purchase from Erba Diagnostics.
"In 2014, we made the strategic decision to identify and formalize agreements with optimal distribution partners capable of extending our reach and penetration to larger hospitals and government labs," said William Creech, Vice President Sales and Marketing of Erba Diagnostics. "These agreements mark the first steps in executing on this strategy and will complement our existing focus on smaller hospitals and reference labs."
Erba Diagnostics' line of FDA approved products includes diagnostic reagents, test kits and instrumentation in the areas of autoimmune, chemistry, hematology, diabetes and infectious diseases. Specifically, the Mago® 4S Automated Immunoassay System is an automated analyzer designed to increase efficiency through the simultaneous processing of both ELISA and IFA samples, on a single-platform.
About Erba Diagnostics, Inc.
Erba Diagnostics, Inc. (NYSE MKT:ERB), is a fully integrated in vitro diagnostics company, offering a comprehensive suite of clinical testing products throughout the U.S. and emerging markets. The Company serves as a one-stop shop for the testing needs of the growing number of smaller hospitals, reference labs, and physician clinics. Erba Diagnostics' line of proprietary and automated instruments, test kits, and reagents provide customers with autoimmune, infectious diseases, clinical chemistry, hematology, and diabetes testing. www.erbadiagnostics.com
Safe Harbor Statement
Except for the historical matters contained herein, statements in this press release are forward-looking and are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Investors are cautioned that forward-looking statements involve risks and uncertainties that may affect the business and prospects of Erba Diagnostics, Inc., including, without limitation, the risks and uncertainties related to: the ability of Government Scientific Source and the existing nationally prominent channel partner to perform as anticipated under their respective agreements with Erba Diagnostics; the impact of Government Scientific Source and the existing nationally prominent channel partner's performance under their respective agreements with Erba Diagnostics on the judgments and estimates Erba Diagnostics has made with respect to its financial condition, operating results and cash flows; the ability of Government Scientific Source and the existing nationally prominent channel partner to successfully market and distribute Erba Diagnostics' products; the ability of Government Scientific Source and the existing nationally prominent channel partner's performance under their respective agreements with Erba Diagnostics to be a source of revenue growth for Erba Diagnostics in the future; ERBA Diagnostics' ability to implement its strategic plans, including, without limitation, its ability to successfully identify and formalize agreements with optimal distribution partners capable of extending its reach and penetration to larger hospitals and government labs; the ability for the customers our distribution partners will target to complement Erba Diagnostics' focus on smaller hospitals and reference labs; Erba Diagnostics may not be able to take advantage of the scalable and high throughput nature of its immunology platform through its agreements with Government Scientific Source and the existing nationally prominent channel partner; Erba Diagnostics' agreement with Government Scientific Source may not facilitate and accelerate the complex procurement process or provide access to government testing centers in a cost-effective manner; Erba Diagnostics' agreement with Government Scientific Source and the existing nationally prominent channel partner may not broaden the access of Erba Diagnostics' suite of diagnostics products; constantly changing, and Erba Diagnostics' compliance with, governmental regulation; Erba Diagnostics' ability to achieve cost advantages from its own manufacture of instrument systems and reagents test kits; and economic, competitive, political, governmental and other factors affecting Erba Diagnostics and its operations, markets and products. In addition to the risks and uncertainties set forth above, investors should consider the economic, competitive, governmental, technological and other risks and uncertainties discussed in Erba Diagnostics' filings with the Securities and Exchange Commission, including, without limitation, the risks and uncertainties discussed under the heading "Risk Factors" in such filings.