Companies to Sign Multi-Year Marketing Agreement, Phase Forward to Become Covance's Preferred Solution Provider for Electronic Data Capture and IVRS/IWRS
WALTHAM, Mass.--(BUSINESS WIRE)--Jul. 15, 2009--
Phase Forward (NASDAQ: PFWD), a leading provider of data management
solutions for clinical trials and drug safety, today announced that it
has signed an agreement to purchase the Interactive Voice & Web Response
Services (IVRS/IWRS) business of Covance Inc. (NYSE: CVD) for $10
million in cash. As part of this transaction, Phase Forward and Covance
have also agreed to enter into a multi-year marketing agreement to
provide Phase Forward’s market leading InForm™ electronic data capture
(EDC) solution and Clarix™ interactive response technology solution to
Covance clients.
Phase Forward expects the purchase, which is subject to customary
closing conditions, to be completed by the end of August.
“Covance and Phase Forward are committed to working together to deliver
best-of-class solutions to our clinical trial customers,” said Bob
Weiler, chairman and CEO of Phase Forward. “Covance has been a
pioneering leader in the IVRS/ IWRS market and we look forward to
building upon their success. We are also pleased to solidify our
long-term strategic relationship with one of the world’s leading and
most successful CROs.”
“Covance remains fully committed to providing our clients with
integrated drug development solutions, including advanced technology for
supporting clinical trials,” said Joe Herring, chairman and CEO of
Covance. “We are delighted to broaden our relationship with Phase
Forward, our preferred provider of EDC software for clinical trials, to
include market leading IVRS/IWRS technology for clinical trials. We
believe our clients will benefit from Phase Forward’s integrated data
management platform and Covance’s integrated clinical trial solutions.”
Additional financial details and the projected financial impact of the
Covance transaction will be provided on July 27, 2009, when Phase
Forward releases its second quarter 2009 results, as well as third
quarter and full year 2009 guidance.
About Covance
Covance, with headquarters in Princeton, New Jersey, is one of the
world’s largest and most comprehensive drug development services
companies with annual revenues greater than $1.7 billion, global
operations in more than 25 countries, and more than 9,800 employees
worldwide. Information on Covance’s products and services, recent press
releases, and SEC filings can be obtained through its website at www.covance.com.
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 [Coventry’s IVRS/IWRS business], Phase Forward's ability
to achieve expected synergies as a result of the acquisition, the
strengthening of Phase Forward's market position as a result of the
acquisition, the ability of the parties to satisfy the conditions to
closing, and the expected timing for closing the acquisition. The
closing of the acquisition is subject to various risks, including the
risk that conditions to the closing are not satisfied when required.
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 [Coventry’s
IVRS/IWRS business] 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 [Coventry’s IVRS/IWRS business] 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 operating results; our dependence on a limited number of
customers or suppliers; product performance; third party service
interruptions or delays; technology failures; our ability to maintain
customer relationships and contracts; product liability or intellectual
property infringement claims brought against us; acquisitions; and the
volatility of the market price of our 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
