NEW YORK--(BUSINESS WIRE)--Medidata (NASDAQ:MDSO) today announced that it has entered into a definitive agreement to acquire SHYFT Analytics, bringing the leading platform for clinical development together with the leading platform for commercial and real-world data analytics.
The combined platform seamlessly delivers market-leading applications, services, and proven data science capabilities, powered by the largest global pool of research data, companies’ own CRM data, 3rd party commercial data, and real-world data sources.
Pharmaceutical, biotech, and medical device companies now have an unprecedented ability to manage and optimize value across the clinical and commercial continuum.
“Together, Medidata and SHYFT are powering customers’ digital transformation with artificial intelligence and real-world analytics to reduce risk, optimize revenue, and ultimately help patients,” said Tarek Sherif, chairman and chief executive officer, Medidata. “Combining our innovative solutions, talented teams and shared values, across both organizations will help life science companies streamline the way they develop products and bring them to market. Getting the right treatment, to the right patient, at the right time is a vision we have long shared with our customers.”
The new Intelligent Platform for Life Sciences significantly enhances drug and device discovery, development and commercialization by:
- Accelerating value - Demonstrate efficacy and safety, obtain regulatory approval, and achieve peak revenue faster
- Minimizing risk - De-risk the planning and execution of clinical development and commercialization strategies
- Optimizing outcomes - Provide the best possible outcomes for patients, providers, and payers with increasingly precise therapies
“As life science companies increasingly focus on improving outcomes and safety, the need to leverage insights across the patient life cycle to move faster and work smarter has become paramount,” said Dr. Alan Louie, research director at IDC. “Medidata’s acquisition of SHYFT enables companies to better analyze clinical, real-world, and commercial data to achieve their goals.”
“SHYFT and Medidata share a common vision to transform how life science companies harness the value of data to advance enterprise decision-making and patient outcomes,” said SHYFT CEO and Founder, Zack King. “Our talented team has had great success delivering value to the industry and our combined technology will create something unique that will unlock enormous opportunities for our customers. We are thrilled to be joining forces with Medidata to further execute our mission to advance healthcare through analytics.”
Medidata will acquire SHYFT for a total consideration of $195 million, subject to customary closing adjustments, inclusive of Medidata's 6% ownership in SHYFT’s business, and funded with existing cash on Medidata’s balance sheet. The acquisition has been unanimously approved by the Boards of Directors of each company and the stockholders of SHYFT, and is expected to close in the second quarter of 2018, subject to customary closing conditions.
Conference Call and Webcast
Medidata will host a conference call with the investment community today at 8 a.m. Eastern Time. Participants may join via webcast at investor.mdsol.com, or by telephone at 877-303-2528 domestically or 847-829-0023 internationally, using the passcode 5986948.
A replay will also be available at investor.mdsol.com, or by dialing 800-585-8367 domestically, or 404-537-3406 internationally.
During the conference call, the company will provide updated 2018 guidance to incorporate deal-related costs, assumption of ongoing operating expenses of SHYFT, and write-down of acquired deferred revenue as a result of purchase accounting. A summary of the updated guidance and reconciliation of forward-looking non-GAAP financial measures to the most comparable forward-looking GAAP measures will be posted at investor.mdsol.com.
Medidata's unified platform, pioneering analytics, and unrivaled expertise power the development of new therapies for over 1,000 pharmaceutical companies, biotech, medical device firms, academic medical centers and contract research organizations around the world. The Medidata Clinical Cloud® connects patients, physicians and life sciences professionals. Companies on the Medidata platform are individually and collaboratively reinventing the way research is done to create smarter, more precise treatments.
For more information: www.mdsol.com
SHYFT Analytics is the leading cloud data analytics platform for life sciences with solutions designed exclusively for the pharmaceutical and biotech industry. SHYFT’s Data Analytics Platform is the most efficient and scalable way to transform massive amounts of complex healthcare data into high-quality, novel and intuitive clinical and commercial insight. SHYFT is headquartered in Boston with offices in San Francisco and New York City.
Certain statements made in this press release are “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995 that involve significant risks and uncertainties about Medidata Solutions, Inc. (“Medidata”), including, but not limited to, statements about Medidata’s anticipated closing of the SHYFT Analytics acquisition and the expected timing thereof, related updated 2018 guidance with respect to financial performance, combined products and services resulting from the SHYFT acquisition, business model, strategy and growth opportunities, and competitive position. Such statements are subject to risks and uncertainties that could cause actual performance or results to differ materially from those expressed in these statements. In particular, the risks and uncertainties include, among other things, risks associated with the SHYFT acquisition being delayed, or not being completed at all, for any reason including the failure to satisfy closing conditions related thereto, possible fluctuations in our financial and operating results and integration activities. For additional disclosure regarding these and other risks faced by Medidata, see disclosures contained in Medidata’s public filings with the Securities and Exchange Commission, including the “Risk Factors” section of Medidata’s Annual Report on Form 10-K for the year ended December 31, 2017. You should consider these factors in evaluating the forward-looking statements included in this press release and not place undue reliance on such statements. The forward-looking statements are made as of the date hereof, and Medidata undertakes no obligation to update such statements as a result of new information except as required by law.