A Diagnostics & Imaging Week
Inverness Medical Innovations. (IMI; Waltham, Massachusetts) has closed on a $1.3 billion credit facility with GE Healthcare Financial Services to support its acquisition of Biosite (San Diego) which it agreed to acquire back in May for $92.50 a share.
GE Healthcare Financial Services serves as administrative agent for the facility. GE Capital Markets and UBS Investment Bank were joint lead arrangers for the facility.
The senior secured credit facilities included a $150 million revolving credit facility, $900 million first lien term loan, and a $250 million second lien term loan.
IMI used the proceeds to finance the acquisition of Biosite, refinance its existing indebtedness, and provide increased liquidity for its working capital needs.
“The combination of Inverness and Biosite, along with the pending stock for stock acquisition of Cholestech [Hayward, California] by Inverness, creates a broadened leadership position in the rapid diagnostics testing market,” said Ron Zwanziger, CEO/chairman of IMI.
IMI. is a developer of advanced diagnostic devices and is presently exploring new opportunities for its proprietary electrochemical and other technologies in a variety of professional diagnostic and consumer-oriented applications including immuno-diagnostics with a focus on women’s health, cardiology and infectious disease.
U-Systems (San Jose, California), a developer of automated breast ultrasound systems, reported that it has successfully completed a $16.5 million funding round led by Siemens Venture Capital. Other investors in this financing include existing U-Systems investors Sycamore Venture Capital, MDS Capital, Radius Ventures, Kinetic Capital and United Investments and new investors President International Development Corporation, iD Innovation, China Investment & Development Company and TSC Bioventures.
“This funding will enable us to expand our sales and marketing organizations as well as continue our investment in product development and clinical investigations,” said Joseph Pepper, president/CEO of U-Systems. “We are building on the momentum we achieved in 2006 with the introduction of our proprietary SomoVu automated breast ultrasound system, expanding our presence in the breast imaging marketplace.”
The company noted that breast ultrasound has long been established as the preferred modality for diagnostic breast imaging, especially in women with dense breasts. With the advent of the SomoVu, the company said that radiologists now have standardized, reproducible, 3-D views of the breast enabling improved diagnostic confidence.
“This automated approach could prove useful in women with breast implants and, ultimately, the potential exists to apply the technology to ultrasound imaging of other parts of the anatomy,” said managing partner Andrew Jay of Siemens Venture Capital.
In other financing news:
• AuthenTec (Melbourne, Florida), a provider of fingerprint sensors, reported the initial public offering of 7.5 million shares of its common stock priced at $11 per share.
The company is offering 5,625,000 shares and certain selling stockholders are offering 1,875,000 shares of common stock.
The common stock will begin trading today on the NASDAQ Global Market under the symbol AUTH. The offering is expected to close on or about July 2.
The company has granted the underwriters an option to purchase up to an additional 1,125,000 shares of common stock.
The company said it intends to use net proceeds from the offering for general corporate purposes and will not receive any proceeds from the sale of the shares of common stock by the selling stockholders.
AuthenTec is a provider of fingerprint authentication sensors and solutions to the high-volume PC, wireless device, and access control markets.
• ONI Medical Systems (Wilmington, Massachusetts), developer of an open, high-field extremity MRI system, reported a $12.5 million capital infusion led by Ziegler Meditech Equity Partners. The company said it intends to expand its product development and marketing efforts within the Specialty MRI imaging market.
The transaction also included participation from existing investors Galen Partners and Ivy Capital Partners.
“This additional funding, combined with our team of industry experts and top designers, will allow us to further penetrate the growing needs of both our clinicians and healthcare providers,” said Peter Pellerito, CEO of ONI.
ONI manufactures the MSK Extreme with v-SPEC, which the company said combines superior, high-field image quality in a compact, patient-friendly unit. Unlike whole-body MRI units, the MSK Extreme is designed to enable patients to have a comfortable testing experience where just the impacted extremity is enclosed by the magnet.
• The board of directors of Elekta (Stockholm, Sweden) reported that it has decided to repurchase shares in the company.
Elekta’s distribution policy is to distribute 20% or more of net profit to shareholders in the form of dividends, share repurchases or comparable measures. Elekta’s annual general meeting on Sept. 20, 2006 resolved to authorize the board to decide on the acquisition of a maximum of 10% of the total number of shares in the company.
The board said it decided to exercise the mandate to authorize the executive management to initiate, on appropriate occasions, the repurchase of shares in an amount of SEK 100 M, but maximized to 1 million shares.
The company now owns 759,271 of its own shares. A repurchase of 1 million shares is corresponding to 1.1% of the total number of outstanding shares in the company. The board said it will recommend that the acquired shares be cancelled.
Elekta is an international med-tech group, providing clinical solutions, comprehensive information systems and services for improved cancer care and management of brain disorders.