Ventana Medical Systems, Inc.
Ticker: VMSI 3865 North Business Center Drive
Exchange: NASDAQ-National Market Tucson, Arizona 85705
Industry: Manufacturing (520) 887-2155

Type of Shares:Common Shares Filing Date:5/24/96
U.S. Shares:2,050,000 Offer Date:7/26/96
Non-U.S. Shares:0 Filing Range:$14.00 - $16.00
Primary Shares:1,890,907 Offer Price:$10.00
Secondary Shares:159,093 Gross Spread:$0.70
Offering Amount: $30,750,000 Selling:$0.42
Expenses:$925,000 Reallowance:$0.10
Shares Out After:10,680,998

ManagerTierPhone
Bear, Stearns & Co. Inc.Lead Manager (212) 272-2000
Dillon, Read & Co. Inc.Co-manager (212) 906-7000

Auditor: Ernst & Young
Audited
Income
Latest
Unaudited
Income
Prior
Unaudited
Income
Balance
Sheet
12/31/95 3/31/96 3/31/95 3/31/96
Revenue:$10.61$1.59$1.01Assets:$21.74
Net Income:-$3.27-$10.31-$0.83Liabilities:$23.30
EPS:-$0.38-$1.16-$0.10Equity:-$1.56

Note: Dollar amounts are in U.S. millions; Audited figures expressed as full year,
unaudited figures are partial year

Business Description
The company is a manufacturer of instrument systems used in analyzing cells and tissues on microscopic slides. These tests are important tools used in the diagnosis of and selection of treatment for cancer. With a worldwide installed base of 581 instruments as of March 31, 1996, the Company believes that it is the worldwide leader in the automated IHC testing market. The Company estimates that its installed base is approximately five times as large as the combined installed base of instruments of all of the Company's current competitors. Ventana has placed instruments with 35 of the 42 cancer centers designated by the National Cancer Institute including the Mayo Clinic, the Dana Farber Cancer Institute, the Johns Hopkins University and the M.D. Anderson Cancer Center.Each Ventana proprietary system placed provides a recurring revenue stream as customers consume reagents and supplies sold by the Company with each test conducted.

Use of Proceeds
The proceeds from the proposed offering will be used to repay debt, for capital expenditures and for working capital and general corporate purposes.

Last updated: 10/28/96

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