• AngioDynamics (Queensbury, New York) reported completing the acquisition of Oncobionic (San Francisco), according to the terms of an agreement entered on Oct. 12, 2006. AngioDynamics said that close of the acquisition comes as a result of the initial use of Oncobionic's irreversible electroporation technology in the first human clinical trial for the treatment of soft tissue, conducted during the first week of April. AngioDynamics paid Oncobionic $25.4 million, including about $400,000 of assumed liabilities. An additional $5 million is due in November and the final installment of $5 million will be paid in November 2009. Eamonn Hobbs, president/CEO of AngioDynamics, said,"While the U.S. trial for soft tissue is continuing, a second clinical trial in Italy has received Institutional Review Board approval and is expected to begin in June. Our next milestone includes providing 20 IRE systems to thought leaders in the soft tissue ablation field, who will begin using the systems to treat patients and develop additional clinical data on the technology."

• Applera (Norwalk, Connecticut) reported approval of its proposed separation of the Celera Group (Nashville, Tennessee) from Applera's remaining businesses. The separation will be accomplished by a redemption of outstanding shares of Applera-Celera Group tracking stock, with Celera becoming an independent public company. Celera is a provider of personalized disease management through products and services incorporating proprietary discoveries. Berkeley HeartLab (Burlingame, California), a subsidiary of Celera, offers services to predict cardiovascular disease risk and optimize patient management.

• BD (Becton, Dickinson and Co.; Franklin Lakes, New Jersey) reported acquiring the outstanding stock of Cytopeia (Seattle), a private company developing advanced flow cytometry cell sorting instruments. BD said that Cytopeia's Influx products offer it an open, configurable cell sorting platform suited for a range of applications including cell therapy research, stem cell research, drug discovery and development, as well as marine biology. Financial terms were not disclosed.

• Bristol-Myers Squibb (BMS; New York) said it has agreed to sell its ConvaTec (Skillman, New Jersey) business unit to private equity firms Nordic Capital Fund VII and Avista Capital Partners for $4.1 billion. BMS said that the deal is part of its plan to focus on biopharmaceuticals. ConvaTec develops wound therapeutics and ostomy care products. The closing is anticipated in 3Q08.

• Cardinal Health (Dublin, Ohio) completed its previously disclosed $490 million purchase of privately held Enturia (Leawood, Kansas), the manufacturer of infection prevention products sold under the ChloraPrep brand name. ChloraPrep products are used in U.S. hospitals and surgery centers as a preoperative skin preparation to help prevent blood stream and surgical site infections. Cardinal said it plans "to accelerate" sales of ChloraPrep products to both hospital and alternate-care customers through its U.S. and international sales networks.

• Covidien (St. Louis) said it will acquire all assets related to the Pinyons PowrSyringe Injector and PowrSyringe Monitor handheld, manual injection and inflation devices from Pinyons Medical Technology (Park City, Utah) and Shawn Fojtik, its president/CEO. The devices facilitate manual X-ray contrast media injections during angiography procedures performed in the cardiac cath lab and interventional radiology suite.

• Cyberkinetics Neurotechnology Systems (Foxborough, Massachusetts), a developer of products intended to restore function for people with spinal cord and other nerve injuries, sold its Salt Lake City research business to 12S Micro Implantable Systems (Salt Lake City) for $982,000 in cash. Cyberkinetics will retain about $570,000 in accounts receivable. The research products business provides neurotechnology equipment, including neural recording arrays, array insertion devices, and data acquisition systems to academic researchers around the world, Cyberkinetics said. Cyberkinetics' product pipeline includes the Andara OFS system for acute spinal cord injury, an investigative device designed to stimulate nerve repair and restore sensation and motor function; the BrainGate system, an investigative device designed to provide communication and control of a computer, assistive devices, and, ultimately, limb movement; and a pilot program in the detection and prediction of epileptic seizures.

• Kinetic Concepts (KCI; San Antonio) said that it completed its initial tender offer for the outstanding shares of common stock of LifeCell (Branchburg, New Jersey). More than 91% of those outstanding shares have been tendered, making LifeCell a majority owned subsidiary of KCI. KCI in April reported that it would acquire LifeCell, a maker of tissue-repair products for use in reconstructive, urogynecologic and orthopedic surgical procedures, for about $1.7 billion in cash.

• Matria Healthcare (Marietta, Georgia) reported receiving shareholder approval of its proposed merger with Inverness Medical Innovations (IMI; Waltham, Massachusetts). Matria will become a wholly owned subsidiary of IMI. The deal, unveiled in January, calls for IMI to acquire Matria for $39 a share — $6.50 in cash plus $32.50 in convertible preferred stock of Inverness. The deal has been valued at $1.18 billion, including the assumption of $280 million in debt. IMI said it plans to consolidate Matria with its Alere (Reno, Nevada) and Paradigm (Upper Saddle River, New Jersey) businesses to form a combined organization focused on the health management market. Matria is a provider of health enhancement programs.

• McKesson (Atlanta) has acquired Vivalog (Seattle), a provider of web-based solutions, including the MyPACS.net medical imaging reference site, designed to enable imaging specialists to eorganize and share image and reference case information needed during daily practice. Terms were not disclosed. McKesson said that Vivalog's portfolio will extend its current hospital imaging and information management systems with reference case management and clinical conferencing capabilities.

• Mindray Medical International (Shenzhen, China) completed its acquisition of the patient monitoring device business of Datascope (Montvale, New Jersey), that deal first disclosed in March. The deal has a pre-tax value to Datascope of $240 million. Mindray paid $209 million in cash and Datascope retained about $31 million in patient monitoring accounts receivable. Mindray said it expects to achieve more than $30 million in run-rate synergies from the acquisition in the areas of manufacturing, SG&A and R&D in 2011. Mindray offers products in three business segments: patient monitoring and life support products, in vitro diagnostics, and medical imaging systems.

• Osiris Therapeutics (Columbia, Maryland) said it plans to sell its Osteocel business to spinal fusion device maker NuVasive (San Diego) for $35 million in an upfront payment at deal close, and up to $50 million in future milestones. In a separate agreement worth up to another $52 million to Osiris, the company will supply NuVasive with Osteocel for up to 18 months. Expected to close in the third quarter, the deal would provide Osiris with net cash of about $100 million, on top of the roughly $40 million in cash and access to cash that the company had at the ended of the first quarter, Randy Mills, chief executive officer of Osiris, said. Osteocel, which preserves the stem cell population in marrow-rich bone, is used in spinal applications for bone regeneration. Osiris retains the rights to culture expanded versions of the product, previously referred to as Osteocel-XC. However, included in the agreement is an option for NuVasive to acquire the rights to the expanded version of the product at predefined terms as well as a right of first negotiation if Osiris elects to partner the product with a third party.

• Spectranetics (Colorado Springs, Colorado) has agreed to acquire the endovascular business of Kensey Nash (Exton, Pennsylvania) in a deal potentially worth up to $24 million in cash. Kensey Nash immediately eliminated its sales and marketing force for those products. The deal consists of a $10 million initial payment, $8 million in future product development payments, and a $6 million milestone associated with cumulative sales. The transaction, subject to customary closing conditions, is expected to close by June 30. Kensey's endovascular unit, includes manufacture of the ThromCat, QuickCat and SafeCross products, all used to treat blood clots and blockages in arteries.

• Touch Bionics (Newburgh, New York), developer of the I-Limb Hand, a bionic hand, reported acquiring the Aesthetic Concerns Prosthetics operations of Livingskin (Linvingston, Scotland), the developer of the prosthetic skin that Touch Bionics supplies with its product. Touch Bionics said that the acquisition provides it with an established physical presence in North America. Prosthetic and Orthotic Associates, the clinical company previously associated with Livingskin, is not included in the acquisition and will operate independently of the newly combined business, Touch Bionics noted. Terms of the purchase were not disclosed.

• Volcano (Rancho Cordova, California) has acquired Novelis (Methuen, Massachusetts), a private company developing ultrasonic visualization technology for minimally invasive diagnostic and therapeutic devices, for about $12 million in cash. It said it may make an additional $3 million, based on a "specific" regulatory milestone. Novelis' core product line is based on Forward-Looking Intravascular Ultrasound (FLIVUS) technology, including an image-guided crossing catheter that combines visualization, steerability and RF tissue ablation, designed to permit interventional cardiologists to safely cross chronic total occlusions (CTOs) in the coronary and peripheral arteries, and an IVUS catheter to facilitate current guidewire-based CTO crossing techniques. Volcano said that Novelis' IVUS technology will enhance its position in imaging technology leader in the of interventional medicine by enabling forward-looking IVUS and associated therapies in the interventional cardiology market.