MDS: PerkinElmer Seeks Alternative To Analytical Technologies Sale

PerkinElmer Inc., a company with which MDS Inc. (MDZ) has a joint-venture deal, has filed a notice with the Ontario Superior Court of Justice seeking alternatives to the planned sale of MDS's analytical technologies business to Danaher Corp. (DHR).

MDS said one of the proposed alternatives is an interim and permanent injunction preventing the completion of the sale of MDS Analytical Technologies business to Danaher.

As reported in early September, MDS agreed to sell its analytical technologies business to Danaher for US$650 million. Its interest in the PerkinElmer joint venture is part of that sale.

The company said its joint-venture with PerkinElmer is for the development, manufacture and sale of inductively coupled plasma mass spectrometers. It said this product line represents less than 10% of annual revenue generated by the analytical technologies business.

Terms of the joint-venture deal require PerkinElmer's approval of the sale to Danaher, which MDS hasn't yet received. If consent isn't received, MDS said it has agreed to retain its interest in the joint venture.

MDS believes it has a strong position and, if necessary, plans to defend the claim. It said it continues to believe the sale to Danaher will close in the first calendar quarter of 2010.

-By Judy McKinnon, Dow Jones Newswires; 416-306-2100; [e-mail]