Safeguard Scientifics Receives ‘Investment Deal of the Year’ Award

WAYNE, Pa.--(BUSINESS WIRE)--Safeguard Scientifics, Inc. (NYSE: SFE), a holding company that builds value in growth-stage life sciences and technology companies, today announced that it was honored by the Greater Philadelphia Alliance for Capital and Technologies (PACT) for Investment Deal of the Year. Safeguard was bestowed with this award in recognition of the successful acquisition of former partner company Clarient by GE Healthcare in December 2010. The award was presented last night at the 18^th Annual Enterprise Awards at the Hilton Philadelphia City Avenue.

“For nearly 60 years, the Safeguard brand has been synonymous with entrepreneurship and innovation”

Former Safeguard Scientifics partner company Avid Radiopharmaceuticals was also a finalist for Investment Deal of the Year, and NuPathe (Nasdaq: PATH) won the Emerging Life Sciences Company category. In addition, Stephen M. Goodman, a member of the Safeguard Scientifics Technology Advisory Board, was the recipient of this year’s Legend Award for lifetime achievement.

“For nearly 60 years, the Safeguard brand has been synonymous with entrepreneurship and innovation,” said Peter J. Boni, President and CEO of Safeguard Scientifics. “We have completed more than 20 IPOs, most recently NuPathe (Nasdaq: PATH) and Tengion (Nasdaq: TNGN); and more than 100 M&A transactions, most recently the acquisitions of Clarient and Avid Radiopharmaceuticals by GE Healthcare and Eli Lilly, respectively. PACT’s broad recognition of the Safeguard family at this year’s Enterprise Awards is a testament to the hard work and dedication of our team. We look forward to continuing to build upon our success and further develop relationships and partnerships with those entrepreneurial and innovative life sciences and technology companies who will be tomorrow’s PACT Enterprise Award winners.”

Safeguard was presented with the Investment Deal of the Year Award for the successful acquisition of Clarient by GE Healthcare in December 2010. Through its partnership with Safeguard, Clarient transformed from a failing business, then called Chromovision Medical Systems, and repositioned it to become a premier cancer diagnostics company whose revenues increased tenfold and whose market cap increased fivefold since it rebranded itself. As a result, GE Healthcare acquired Clarient for $587 million. Safeguard realized well over $200 million in cash, representing the largest cash return in Safeguard’s history.

A finalist in the Investment Deal of the Year category, Avid Radiopharmaceuticals was acquired by Eli Lilly in December 2010. The acquisition was completed for an upfront payment of $300 million and up to $500 million in additional payments based on Avid’s achievement of certain difficult regulatory and revenue milestones.

Partner company NuPathe received the Emerging Life Sciences Company Award. NuPathe is a specialty pharmaceutical company that develops and commercializes branded therapeutics for diseases of the central nervous system. NuPathe raised $43 million in net proceeds from its initial public offering of common stock in August 2010. The FDA recently accepted NuPathe’s NDA for its lead product candidate, Zelrix™, a single-use transdermal sumatriptan patch being developed to treat acute migraine. The company continues to prepare for commercial launch.

“We are incredibly proud of the teams at Clarient, Avid and NuPathe, and all that they have accomplished,” continued Boni. “We wish our partner companies – past and present – continued success in the pursuit of their missions. I would also like to personally thank Steve Goodman for his vision and guidance over the years. He has become an invaluable resource and great mentor for Safeguard’s technology partner companies.”

About Safeguard Scientifics

Founded in 1953 and based in Wayne, PA, Safeguard Scientifics, Inc. (NYSE: SFE) provides growth capital for entrepreneurial and innovative life sciences and technology companies. Safeguard targets life sciences companies in Molecular and Point-of-Care Diagnostics, Medical Devices, Regenerative Medicine, Specialty Pharmaceuticals and selected healthcare services, and technology companies in Internet / New Media, Financial Services IT, Healthcare IT and selected business services with capital requirements of up to $25 million. Safeguard participates in expansion financings, corporate spin-outs, management buyouts, recapitalizations, industry consolidations and early-stage financings. For more information, please visit our website at www.safeguard.com, our blog at blog.safeguard.com or you can follow us on Twitter @Safeguard and LinkedIn.

Forward-looking Statements

Except for the historical information and discussions contained herein, statements contained in this release may constitute "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Our forward-looking statements are subject to risks and uncertainties. The risks and uncertainties that could cause actual results to differ materially, include, among others, managing rapidly changing technologies, limited access to capital, competition, the ability to attract and retain qualified employees, the ability to execute our strategy, the uncertainty of the future performance of our companies, acquisitions and dispositions of companies, the inability to manage growth, compliance with government regulations and legal liabilities, additional financing requirements, the effect of economic conditions in the business sectors in which our companies operate, and other uncertainties described in the Company's filings with the Securities and Exchange Commission. Many of these factors are beyond our ability to predict or control. In addition, as a result of these and other factors, our past financial performance should not be relied on as an indication of future performance. The Company does not assume any obligation to update any forward-looking statements or other information contained in this news release.