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2009

Microsoft To Acquire Merck Bio Software Operation

June 2, 2009 0

Redmond, Washington — Microsoft Corp on Monday said it has made an acquisition deal to acquire some of the assets of Rosetta Biosoftware, part of a Merck & Co Inc unit, which makes data management software for medical researchers, for an undisclosed sum, as part of an effort to expand into the life sciences software arena.

The acquisition will empower the software maker to add features to its Amalga Life Sciences software for managing genetic, genomic, metabolomic and proteonics research data. Rosetta is part of Rosetta Inpharmatics LLC, a wholly owned Merck subsidiary.

Rosetta’s information systems would allow researchers to analyze genomes, conduct clinical studies, and perform other genomics-related activities. The deal is expected to close at the end of June.

Microsoft said it would add Rosetta’s assets to its Amalga Life Sciences platform, which serves researchers and other health industry professionals manage and organize clinical data.

“We are excited to collaborate with Merck and augment the capabilities of Amalga Life Sciences with the complementary assets of Rosetta Biosoftware,” said Peter Neupart, corporate VP for Microsoft’s Health Solutions Group, in a statement.

As part of the deal, Merck will now become an Amalga customer, Microsoft said, Merck will also “provide strategic input to Microsoft on the direction and evolution of new solutions incorporating Rosetta Biosoftware technologies.”

“This agreement establishes a stable and sustainable platform for the Rosetta Biosoftware technology,” Merck Research Laboratories VP Rupert Vessey said in a statement.

“The newly united offering will empower customers to improve the management and analysis of genomic, biological, and research data, helping to bring lifesaving drugs and therapies to market faster and accelerate the realization of personalized medicine,” said Neupart. Merck officials said they plan to work closely with the software maker.

Microsoft will also employ some of Rosetta Biosoftware’s 53 employees, but has not made a firm decision as to how many, said Jim Karkanias, senior director of applied research and technology at Microsoft.

Rosetta Biosoftware for the past 10 years has been building its products — called Rosetta Resolver, Rosetta Elucidator and Syllego — for analyzing genetic data and genotyping, among other functions, Karkanias said. Microsoft is also purchasing the patents associated with the software, he said.

The Merck deal is expected to close at the end of June 2009, with the new Amalga Life Sciences platform incorporating Rosetta Biosoftware technologies expected to be available in early 2010.

The financial terms of the deal are not being disclosed.