A Medical Device Daily
Devicor Medical Products (Cincinnati), a portfolio company of GTCR, reported the completion of its previously announced agreement to acquire the neoprobe gamma detection system (GDS) products and related assets from Neoprobe (Dublin, Ohio).
Devicor previously provided distribution and marketing services to Neoprobe for the GDS portfolio. Financial terms of the agreement included $30 million cash at close plus up to an additional $20 million in royalties based on revenue milestones. The sale was approved by Neoprobe's shareholders on August 15.
“We are excited to complete this agreement with Neoprobe and believe this is a significant step toward our goal of building a market leading medical device business,“ said Devicor CEO Tom Daulton. “We look forward to welcoming to Devicor all of the dedicated Neoprobe employees responsible for this growing product portfolio, as we plan to expand the business further through our global direct sales platform and additional R&D investment.“
The acquisition of the neoprobe GDS line comes nearly a year after Devicor's acquisition of Ethicon Endo-Surgery's (EES; Cincinnati) Breast Care business, Mammotome (Sharonville, Ohio) which sells products designed to help doctors detect and diagnose breast cancer. GTCR invested additional equity capital in Devicor to finance a portion of the purchase price of the neoprobe GDS assets.
The Mammotome product portfolio is sold in 50 countries around the world and includes the Mammotome Breast Biopsy System as well as tissue markers for breast disease diagnostic sampling and management. Mammotome has distributed and marketed Neoprobe's line of gamma detection systems since 2000, as part of EES and then continuing as part of Devicor.