HealthTronics picks up Arlington lab company for $7.5M

HealthTronics Inc. has bought UroPath LLC, a provider of laboratory services.

Austin-based HealthTronics, which makes urology services products, bought the five-year-old Arlington company for $7.5 million.

In 2007, labs managed by UroPath processed more than 400,000 specimens, serving more than 450 urologists across 17 states.

Content Continues Below

The acquisition has so far had little impact on HealthTronic's (Nasdaq: HTRN) stock. The company's shares were trading at about $3.30 late Tuesday, up about 2 percent from Monday's close.

Pat Hezmall, a UroPath co-founder and chairman of the board, says combining the two companies will enhance pathology operations by providing increased service, new technologies and broader offerings.

"We believe UroPath's historical model provides greater continuity in the handling of specimens, increased communication between specialists in the continuum of care and improved focus on the needs of the patient," HealthTronics CEO James Whittenburg says. "UroPath's decision to join HealthTronics affirms the prominent and unique role that we play in urology."

In the first quarter, HealthTronics reported a profit of $452,000, or one cent a share, compared with a loss of $30,000 in the same quarter last year. The company saw revenue rise to $33.9 million, compared with $32.7 in first quarter 2007.

HealthTronics, which went public in 1991, has about 300 employees.

www.healthtronics.com