Acquisition Extends Phase Forward's Integrated Clinical Research Suite and Marks Entry into ePRO and Observational Studies Markets
WALTHAM, Mass.--(BUSINESS WIRE)--Jul. 27, 2009--
Phase Forward (NASDAQ: PFWD), a leading provider of data management
solutions for clinical trials and drug safety, today announced it has
acquired privately held Maaguzi LLC, an innovative provider of
Web-based, electronic patient reported outcomes (ePRO) and late phase
solutions, for $11 million in cash. Maaguzi has operations in
Indianapolis, Ind. and Morrisville, N.C.
The acquisition of Maaguzi extends Phase Forward’s integrated clinical
research suite (ICRS) and marks the company’s entry into the
increasingly important ePRO and observational studies markets.
Clinical studies are progressively incorporating data reported directly
by patients, and electronic methods of collecting patient input offer
superior quality and help to ensure higher levels of regulatory
compliance than traditional paper diary methods. While this market was
initially addressed with PDA-based solutions, Maaguzi’s technology is
pioneering the next generation of ePRO solutions that leverage Web-based
interfaces, providing greater cost-effectiveness and the ability to
address a broader range of ePRO market requirements.
There is also a growing focus on late phase, observational studies and
registries that combine investigator-collected and patient-reported
data. Maaguzi’s Outcome Logix™ product unifies both
investigator-collected and patient-reported data into a single, flexible
Web-based system supported on all common browsers.
“The acquisition of Maaguzi is another step in our strategy of providing
customers with an end-to-end, integrated clinical research suite for
efficiently managing all of their trials,” said Bob Weiler, chairman and
CEO, Phase Forward. “Our customers tell us that improving the
involvement of patients and other parties in the clinical research and
post-marketing areas is of critical importance, and Maaguzi’s technology
leadership in this area will help us meet that need. We welcome Maaguzi
to the Phase Forward team.”
“Phase Forward and Maaguzi share a commitment to the use of innovative
technology for optimizing the clinical trial process,” said Scott Dixon,
COO, Maaguzi, who is joining Phase Forward as vice president of its
newly formed Outcome Logix Group. Dixon added, “We believe that Phase
Forward’s global presence, financial strength and brand awareness will
prove valuable assets in providing customers with a comprehensive
solution for integrating Web-based, patient-reported outcome data into
their clinical trials.”
Additional details and the projected financial impact of the Maaguzi
transaction on Phase Forward’s future operating results will be provided
in the company’s second quarter financial results press release, also
issued today, and will be discussed on the company’s conference call,
scheduled for 5:00 p.m. ET today.
About Phase Forward
Phase Forward is a leading provider of integrated data management
solutions for clinical trials and drug safety. Phase Forward’s products
and services have been utilized in over 10,000 clinical trials involving
more than 1,000,000 clinical trial study participants at over 290
organizations and regulatory agencies worldwide including: AstraZeneca,
Boston Scientific, Dana-Farber Cancer Institute, Eli Lilly, the U.S.
Food and Drug Administration, GlaxoSmithKline, Harvard Clinical Research
Institute, Merck Serono, Novartis, Novo Nordisk, PAREXEL International,
Procter & Gamble, Quintiles, sanofi-aventis, Schering-Plough Research
Institute, Servier, Tibotec and the U.K. Medicines and Healthcare
Products Regulatory Agency. Additional information about Phase Forward
is available at www.phaseforward.com.
Cautionary Statement
Certain statements made in this press release that are not based on
historical information are forward-looking statements which are made
pursuant to the safe harbor provisions of the Private Securities
Litigation Reform Act of 1995. This press release contains express or
implied forward-looking statements relating to, among other things,
Phase Forward's expectations and assumptions concerning financial
performance of Phase Forward following the consummation of its
acquisition of Maaguzi LLC. Phase Forward's ability to achieve expected
synergies as a result of the acquisition and the strengthening of Phase
Forward's market position as a result of the acquisition. These
statements are neither promises nor guarantees, but are subject to a
variety of risks and uncertainties, many of which are beyond Phase
Forward's control, which could cause actual results to differ materially
from those contemplated in these forward-looking statements. In
particular, the risks and uncertainties include, among other things,
Phase Forward's inability to successfully integrate the acquired company
and its employees into Phase Forward and achieve expected synergies;
Phase Forward's ability to accurately forecast the acquisition-related
restructuring costs and allocation of the purchase price, goodwill and
other intangibles, and acquisition related and other asset adjustments;
costs associated with and consequential to the acquisition and
integration of the acquired company and benefits realized from the
acquisition; Phase Forward’s ability to convince prospective customers
to adopt its solutions; competition; changing customer requirements;
governmental regulation; fluctuations in Phase Forward’s operating
results; long sales and implementation cycles; Phase Forward’s
dependence on a limited number of customers or suppliers; product
performance; third party service interruptions or delays; technology
failures; Phase Forward’s ability to maintain customer relationships and
contracts; Phase Forward’s ability to retain and hire skilled personnel;
Phase Forward’s ability to protect its intellectual property rights;
product liability or intellectual property infringement claims brought
against Phase Forward; acquisitions; Phase Forward’s ability to manage
its rapid growth; and the volatility of the market price of Phase
Forward’s common stock. Existing and prospective investors are cautioned
not to place undue reliance on these forward-looking statements, which
speak only as of the date hereof. Phase Forward undertakes no obligation
to update or revise the information contained in this press release,
whether as a result of new information, future events or circumstances
or otherwise. For additional disclosure regarding these and other risks
faced by Phase Forward, see the disclosure contained in Phase Forward's
public filings with the Securities and Exchange Commission including,
without limitation, its most recent Annual Report on Form 10-K.
Source: Phase Forward
Phase Forward
Elaine Maynard, 781-902-4371
elaine.maynard@phaseforward.com
or
ICR
Timothy
Dolan, 617-956-6727
timothy.dolan@icrinc.com
