Corning Sees Chemistry in Axygen Buy

CORNING, N.Y. (TheStreet) -- Corning is seeking to expand its beaker and bio labware business with a $400 million deal for Axygen BioScience, a subsidiary of American Capital (ACAS Quote).

In an all-cash deal, the glassmaker says Axygen's plastic tubing and pipette business will help broaden its product roster and also the reach of its Life Sciences business in Europe and China.

Life Sciences is Corning's third-largest business behind the LCD glass unit and its telecommunications fiber optic cable division.

The move is an effort to add more stability to the company, the fortunes of which tend rise and fall dramatically on the rollicking whims of flat-screen TV buyers and manufacturers like AU Optronics (AUO Quote) and LG Display (LPL Quote).

Corning shares were unchanged while American Capital stock rose 13% in premarket trading Wednesday.

-- Written by Scott Moritz in New York.