Overview

QDx Pathology, a portfolio company of Hadley Capital, has been acquired by LabGenomics to expand their esoteric testing capabilities globally.

Significance

The global clinical laboratory services market has reached nearly $225 billion, fueled in large part by growing demand for esoteric testing, especially genetic and genomic testing. Meeting this growing demand are specialized diagnostic laboratories offering a wide array of diagnostic tests to providers around the world.

Based in Edison, NJ, QDx Pathology Services (“QDx”) is a national, independent, full-service molecular and anatomical pathology laboratory dedicated to providing diagnostic excellence to the company’s customers and their patients. The company’s CLIA and CAP certified laboratory utilizes the latest in state-of-the-art instrumentation and information technology. QDx’s broad array of testing capabilities, established client base and payor coverage and U.S. footprint made it the ideal partner for South Korea-based LabGenomics to expand its business into the fast-growing U.S. market.

Crosstree’s Role

Crosstree’s global diagnostic laboratory expertise helped QDx identify LabGenomics as the ideal transaction partner to expand the combined company’s capabilities globally through:

• Comprehensive assessment of strategic synergies and positioning QDx’s unique foundational attributes
• Creative thinking beyond the US industry paradigm aimed at meeting client objectives of economic outcome and compelling growth opportunities for management
• Effectively navigating complex cross-border transaction nuances and maintaining alignment of all stakeholders’ interests