Ion Beam Applications To Acquire Sterigenics International

Ion Beam Applications s.a. (IBA; Belgium), a leading designer of particle accelerators has definitively agreed to acquire SteriGenics International, Inc. (Fremont, CA), a provider of high-quality contract Gamma sterilization, microorganism reduction and radiation processing services. Under the terms of the agreement, the stockholders of SteriGenics will receive US$27 per share in cash, valuing the equity of the company at approximately US$235 million.

IBA expects to commence a tender offer for all outstanding shares of SteriGenics within the next five business days. The boards of directors of both companies have approved the transaction. IBA, a fast growing particle accelerator equipment provider, made its first foray into sterilization services through the acquisition in April 1999 of Griffith Micro Sciences, a Chicago-based Eto sterilization services provider.

The acquisition of SteriGenics is designed to permit the delivery of complementary sterilization technologies to IBA's customer base. "The acquisition of SteriGenics will allow us to provide our customers increased technology choices including Eto, Electron Beam, X-Ray and Gamma," stated Pierre Mottet, CEO of IBA. James F. Clouser, the CEO of SteriGenics International, stated that "a combination of IBA and SteriGenics will help meet the increasing customer demands for one-stop technology shopping for the medical device sterilization, food pasteurization and polymer modification industries."

The closing of the acquisition is subject to customary conditions, including receipt of necessary governmental approvals.