Inotiv Announces Purchase of St. Louis Facility and Plans to Expand Capacity

Rhea-AI Summary

Inotiv, Inc. (NASDAQ:NOTV) has purchased its St. Louis facility for approximately $4.7 million. Construction on the facility's 20,000 square foot expansion will begin in June 2021, enhancing service offerings in drug metabolism and pharmacokinetics. Funding for the purchase and expansion will come from a public offering completed in April and a new $4.8 million term loan. CEO Robert Leasure noted this expansion will foster growth opportunities and extend Inotiv’s capabilities in drug discovery and histopathology services.

Positive

• Completed purchase of St. Louis facility for $4.7 million.
• Expansion includes 20,000 square feet of lab space for drug metabolism and pharmacokinetics.
• Funding secured through public offering and $4.8 million term loan.

Negative

• None.

WEST LAFAYETTE, Ind., May 27, 2021 (GLOBE NEWSWIRE) -- Inotiv, Inc. (NASDAQ:NOTV) (the “Company”, “We”, “Our” or “Inotiv”), a leading contract research organization specializing in nonclinical and analytical drug discovery and development services, today announced that the Company has completed the purchase of its previously leased St. Louis facility for approximately $4.7 million.  

In early June 2021, the Company intends to commence construction on approximately 20,000 square feet of unfinished shell space at the 50,000 square foot facility, expanding the Company’s capacity to serve its client base with more comprehensive and integrated service offerings. The expansion will include laboratories for increased drug metabolism & pharmacokinetics technology and capability, as well as a new cell and molecular biology suite capable of delivering in vitro solutions in pharmacology and toxicology. The Company will fund the purchase of the facility and expansion costs by proceeds from the public offering that the Company completed in April 2021, and a new $4.8 million term loan from First Internet Bank.

Robert Leasure, Jr., Inotiv’s President and Chief Executive Officer, said, “The purchase and expansion of the St. Louis facility should enable Inotiv to further capitalize on exciting new growth opportunities deriving not only from expanded capabilities in St. Louis, but also from our recent acquisitions of Bolder BioPATH, Inc. and HistoTox Labs, Inc. This strategic expansion is also designed to extend Inotiv’s reach into earlier stages of drug discovery, driving increased engagement of our pharmacology and toxicology operations and histopathology services.”  

About the Company
Inotiv, Inc. is a leading contract research organization specializing in nonclinical and analytical drug discovery and development services. The Company focuses on developing innovative services supporting its clients’ discovery and development objectives for improved decision-making and accelerated goal attainment. The Company’s products focus on increasing efficiency, improving data, and reducing the cost of taking new drugs to market. Visit inotivco.com for more information about the Company.

This release may contain forward-looking statements that are subject to risks and uncertainties including, but not limited to, risks and uncertainties related to changes in the market and demand for our products and services, the development, marketing and sales of products and services, changes in technology, industry and regulatory standards, the timing of acquisitions and the successful closing, integration and business and financial impact thereof, the impact of the COVID-19 pandemic on the economy, demand for our services and products and our operations, including the measures taken by governmental authorities to address the pandemic, which may precipitate or exacerbate other risks and/or uncertainties, expansion and related efforts, and various other market and operating risks, including those detailed in the Company's filings with the U.S. Securities and Exchange Commission.

Company Contact	Investor Relations
Inotiv, Inc.	The Equity Group Inc.
Beth A. Taylor, Chief Financial Officer	Kalle Ahl, CFA
(765) 497-8381	(212) 836-9614
btaylor@inotivco.com	kahl@equityny.com
	Devin Sullivan
	(212) 836-9608
	dsullivan@equityny.com

FAQ

What recent acquisition did Inotiv complete regarding its St. Louis facility?

Inotiv purchased its previously leased St. Louis facility for approximately $4.7 million.

When does construction for the St. Louis facility expansion start?

Construction on the St. Louis facility expansion will commence in June 2021.

How will Inotiv fund the purchase and expansion of the facility?

Funding will come from proceeds of a public offering completed in April 2021 and a new $4.8 million term loan.

What new capabilities will the St. Louis facility expansion provide?

The expansion will include laboratories for drug metabolism and a new cell and molecular biology suite.

What is the significance of the St. Louis facility acquisition for Inotiv?

The acquisition will enhance Inotiv’s service offerings and drive engagement in drug discovery and toxicology operations.