The clinical research organisation (CRO) Icon has acquired the clinical trial services division of Cross Country Healthcare in a deal worth up to $55.75m.
US-based Icon, which provides pharma-related services from compound selection to phase I-IV clinical studies, will provide Cross Country Healthcare with an upfront payment of $52m, with a further $3.75m available based on certain milestones.
Following the acquisition, Icon will have access to Cross Country Healthcare’s resourcing providers ClinForce and Assent Consulting, which provide services including contract staffing, permanent placement and functional service provision.
According to Icon, these services will be combined with its own functional service provision business.
In addition, Icon will take control of AKOS, a provider of pharmacovigilance and drug safety services, which will boost the work of Icon’s own medical and safety services team.
The deal allows Cross Country Healthcare to focus its efforts on its healthcare staffing business, which mainly involves providing nurses and other healthcare professionals.
It also provides education and training programmes specifically for the healthcare marketplace.
Icon’s CEO Ciaran Murray explained the purchase of the clinical trial services division was due to the changing biopharma environment.
He said: “The demand for flexible resourcing solutions continues to grow as biopharma companies employ a range of outsourcing models to meet their development goals more efficiently.
“The ClinForce and Assent businesses will significantly expand our resourcing and FSP capabilities in the US and, when combined with DOCS strong European footprint and growing emerging markets presence, gives us the ability to deliver truly global resourcing solutions.
“Additionally, AKOS enhances our expertise in the areas of pharmacovigilance and drug safety consulting, which are increasingly important capabilities required by our clients.”