Advancis to cut jobs

The company reported to the Securities and Exchange Commission on March 26 that it will consider alternatives to raising capital, including partnering or merging with another firm or selling part of the company. A full sale of Advancis may be prevented or limited by the way it is incorporated in Delaware, the report said.

Revenues for the quarter ended Dec. 31 were $1.2 million, compared with $1.6 million for the same period in 2005. Total 2006 revenues were $4.8 million, down from $16.8 million in 2005.

Lawmakers, DBEDcompromise on tax credits

Legislators and state officials have compromised on changes in the state’s $6 million biotech tax credit, which was adopted last year.

Under the proposed compromise, venture capital firms would be allowed to take the credit for as much as 10 percent of the total appropriation, or $600,000. Currently, VC investments are capped at $250,000.

Officials at the state Department of Business and Economic Development, which supported a Senate bill, and Del. Brian J. Feldman (D-Dist. 15) of Potomac, sponsor of a House bill, also agreed to limit total investments eligible for the credit in any individual qualified biotech to 20 percent of the fund. They also agreed to include insurance premium taxes and convertible debt as eligible investments.

‘‘We managed to bridge gaps in the differences in the bills, but it will still be up to the committees to decide,” Feldman said.

Gene Logic namesnew CEO-president

Gene Logic, the Gaithersburg bioscience company that has struggled to reinvent itself, has a new leader.

Charles L. Dimmler III, a company director since 1996, was elected CEO and president, succeeding Mark D. Gessler, who will remain a director.

Dimmler was selected for his knowledge of the company and experience in life sciences, Chairman J. Stark Thompson said in a statement. Dimmler will remain a director.

Gene Logic’s 2006 revenues fell to $24.3 million from $57.2 million in 2005, its net loss widened to $54.7 million from $48.3 million in 2005 and it slashed its workforce from 434 to 151 employees, the company recently reported.

Company officials also said in February that they have hired outside advisers to continue a restructuring process, which might include spinning off its genomics services division.

The company last year began transforming itself into a biopharmaceutical company through drug development partnerships with major pharmaceutical companies, similar to a recent path taken by other genomic companies such as Human Genome Sciences Inc. of Rockville.

Telkonet buys wireless company for $11.8M

Telkonet Inc. of Germantown continued its buying spree last week with the acquisition of EthoStream LLC, which provides high-speed wireless Internet services for the hospitality, multi-dwelling unit and multi-tenant unit markets.

Telkonet, which provides broadband access over power lines, purchased all of the issued and outstanding membership units of EthoStream, of Milwaukee, for $11.8 million, comprising cash and common stock. EthoStream’s 2006 revenues were $3.5 million.

Telkonet also recently acquired energy management manufacturer Smart Systems International of Las Vegas in a $7 million deal.

Awards and honors

Sodexho of Gaithersburg, a food service company, received Five-Star Employer status from the Department of Defense’s Employer Support for the Guard and Reserve organization for its ‘‘commitment to more than 3,000 U.S. employees who serve in the military.”

Gaithersburg A⁄C & Heating Inc. won the Medal of Excellence and was named one of 15 Dealer of the Year finalists by Bryant Heating & Cooling Systems of Gaithersburg. The award recognizes sales growth, sale of high-efficiency products, customer satisfaction and participation in various dealer programs and promotions.

NexTone of Gaithersburg was named to the 2007 ‘‘pulver 100,” a list of privately held Internet telephone companies, for its IntelliConnect System.

The laparoscopic bariatric surgery program at Shady Grove Adventist Hospital in Rockville was designated a Center of Excellence by the American Society for Bariatric Surgery.

Items for Business Notes can be e-mailed to Tammy Murphy at tmurphy@gazette.net, faxed to 301-670-7183 or mailed to 1200 Quince Orchard Blvd., Gaithersburg, MD 20878.