Spectranetics is to acquire Covidien’s Stellarex™ drug coated angioplasty balloon (DCB) platform for $30 million in a move that is likely to be part of the plan to meet anti-trust conditions related to the “big one”, next year’s takeover by Medtronic.
The Stellarex DCB platform is designed to treat peripheral arterial disease, although to-date it remains not approved for sale in any market. Stellarex uses EnduraCoat™ technology, a durable, uniform coating designed to prevent drug loss during transit and facilitate controlled, efficient drug delivery to the treatment site.
It is anticipated that the Stellarex DCB platform will receive European CE mark approval in late 2014 or early 2015. Spectranetics expects a European launch of the product immediately upon CE mark approval, which is expected in late 2014 or early 2015. U.S. commercialization will follow FDA approval, which is expected some time in 2017.
The transaction is subject to approval by the Federal Trade Commission and other regulatory agencies, as well as closure of the pending acquisition of Covidien by Medtronic, which is expected to occur in early 2015.
“This acquisition advances SPNC’s objective to provide comprehensive solutions to cross, prepare and treat the most complex vascular conditions,” said Scott Drake, president and CEO, Spectranetics. “Drug coated balloons are and will be an integral part of the vascular landscape for many years to come. Global thought leaders believe that primary patency is the most important clinical metric, and Stellarex’s feasibility data stands apart. We believe this technology will meaningfully add to our near-term revenue growth and expand operating leverage over time.”
“The Stellarex team has made significant progress developing this advanced technology and we are confident that Spectranetics is the right organization to advance the program,” said Brian Verrier, president, Peripheral Vascular, Covidien. “Pending completion of the Medtronic transaction, Covidien looks forward to collaborating with Spectranetics to transfer this technology as well as ensure investigators of the ILLUMENATE trial series are transitioned appropriately.”
Source: Covidien, plc., Globe Newswire