Immunodiagnostic Systems Holdings Plc sold its loss-making haematology business unit to Escalon Medical Corp for 4.2 million euros. The producer of diagnostic testing kits said its Biocode Hycel unit would get payment from Escalon over a period of 48 months from Dec. 31, 2008 the date of completion of the deal.

Immunodiagnostic Systems said this sale would lead to higher profits and allow it to focus on producing manual immunoassays and launch a new automated analyser.

The assets of its haematology business, which were valued at about 2.6 million euros as of Nov. 30, 2008, were also included in the sale, the company said in a statement. For the year ending March 31, 2009, the haematology business was projected to post a pretax loss of 247,000 euros on sales of 4.17 million euros.
Funds received would be used to reduce net debt and improve working capital.

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