Clinical diagnostics group Trinity Biotech has acquired a US supplier of raw material to research laboratories developing tests for a range of diseases.

The Irish group paid $4.2 million (€3.2 million) in cash for the New Jersey-based company which, last year, had sales of more than $5 million.

Trinity Biotech said the products sold by Research Diagnostics fitted well with the range of Fitzgerald Industries, which was acquired last year by Trinity.

"There are good synergies between the two," said Trinity Biotech chief financial officer Rory Nealon.

"Both supply immunodiagnostic products, but one, Fitzgerald, concentrates on supplying the diagnostic industry - people like ourselves - while Research Diagnostics works more with the research side."

He added that the companies' product ranges were more complementary than overlapping. Research Diagnostics targets the areas of cancer, cardiac, fertility and infectious disease diagnosis.

Analysts said the deal appeared to be a "decent bolt-on acquisition" for Trinity Biotech.

"In terms of scale, this would not be huge - accounting for about 6 per cent of revenue base," said Jack Gorman of company broker Davy.

"Trinity seems to have got this group at a good price," he added. "It is paying less than one-times revenues where it paid just over two-times revenues for Fitzgerald just under a year ago."

Mr Gorman noted that the group expects the deal to be earnings positive in the current year.

Trinity Biotech chief executive Ronan O'Caoimh said the company was particularly pleased with this latest acquisition.

"We are confident that the combination of Research Diagnostics and Fitzgerald will strengthen Trinity's position in this segment of the life sciences market with combined turnover in excess of $11 million."

The business of Research Diagnostic will merge with Fitzgerald, which operates as a standalone unit within Trinity Biotech.

Trinity Biotech is best known for its rapid test for HIV, Unigold.