Theragenics acquires Core Oncology’s prostate brachytherapy customer base

Theragenics Corporation announced that it has purchased Core Oncology’s prostate brachytherapy customer base. The asset acquisition was effective on February 17. The total purchase price is structured as an “earn-out” equal to one times the actual revenue generated from the acquired customers over the twelve month period beginning September 2012 and ending August 2013 in excess of a $2.5M threshold amount. Theragenics paid $3.8M in cash at closing as prepayment of a portion of the earn-out, and will make quarterly earn-out payments thereafter. The Company expects to fund the quarterly earn-out payments from operating cash flow and existing cash balances. “The Core transaction and additional iodine business demonstrates our continuing commitment to this treatment, the physicians and the patients who depend on it,” said M. Christine Jacobs, Chairman and Chief Executive Officer of Theragenics Corporation. “The Core customers are in good hands.”