WAYNE, Pa., July 23 /PRNewswire-FirstCall/ -- Escalon Medical Corp.
(Nasdaq: ESMC) today announced that holders of 67.03% of the outstanding
ordinary shares of Drew Scientific Group PLC (London Stock Exchange: DRW) have
accepted Escalon's exchange offer for all of the outstanding ordinary shares
of Drew Scientific.  As a result, the offer is now unconditional, and the
offer will be kept open for an additional 21 days to allow holders of Drew
Scientific who have not yet tendered to accept the offer.
    Escalon had offered 900,000 shares of Escalon common stock in exchange for
all the ordinary shares of Drew Scientific Group. Escalon will issue initially
in the exchange approximately 603,000 shares of Escalon common stock for the
already tendered Drew Scientific shares within the next 14 days.  The Company
has been advised that if 90% of the shares are tendered, the Company could
acquire any remaining ordinary shares of Drew Scientific pursuant to UK law
that allows compulsory acquisition of such shares.  There can be no assurance
that the Company will receive 90% of the shares of Drew Scientific.  Drew
Scientific is expected to operate as a separate division of Escalon Medical.
    "We are very pleased to move ahead with the acquisition of Drew
Scientific," commented Richard J. DePiano, Chairman and Chief Executive
Officer.  "The acquisition is consistent with our strategic plan to provide
Escalon with another vehicle for growth.  We look forward to Drew Scientific
becoming part of our organization and contributing to our future results."
    Drew Scientific, based in the U.K., with additional manufacturing
operations in Texas and Connecticut, is a diagnostics company specializing in
the design, manufacture, sale and distribution of analytical systems for
laboratory testing worldwide.  Drew Scientific provides instrumentation and
consumables for the diagnosis and monitoring of medical disorders in the areas
of diabetes, cardiovascular diseases and hematology, as well as veterinary
hematology and blood chemistry.

    Founded in 1987, Escalon develops, markets and distributes ophthalmic
diagnostic, surgical and pharmaceutical products as well as vascular access
devices.  Escalon seeks to further diversify its product line to achieve
critical mass in sales and take better advantage of Escalon's distribution
capabilities through internal product development, acquisitions or strategic
partnerships.  Escalon has headquarters in Wayne, Pennsylvania and
manufacturing operations in Long Island, New York and New Berlin, Wisconsin.

    Note:  This press release contains statements that are considered
forward-looking under the Private Securities Litigation Reform Act of 1995,
including statements about Escalon's future prospects.  They are based on
Escalon's current expectations and are subject to a number of uncertainties
and risks, and actual results may differ materially.  The uncertainties and
risks include whether Escalon is able to improve upon the operations of
Escalon's business units, generate cash and identify, finance and enter into
business relationships and acquisitions, uncertainties and risks related to
new product development, commercialization, manufacturing and market
acceptance of new products, marketing acceptance of existing products in new
markets, research and development activities, including failure to demonstrate
clinical efficacy, delays by regulatory authorities, scientific and technical
advances by Escalon or third parties, introduction of competitive products,
third party reimbursement and physician training as well as general economic
conditions.  Further information about these and other relevant risks and
uncertainties may be found in Escalon's report on Form 10-K, and its other
filings with the Securities and Exchange Commission, all of which are
available from the Commission as well as other sources.

Link to this page: