A Medical Device Daily
RoundTable Healthcare Partners (Lake Forest, Illinois) reported that it has completed the acquisition of Advantis Medical (Greenwood, Indiana), a manufacturer of medical case/tray systems for surgical instruments, implants and devices.
Advantis will be combined with Instrumed International (Roswell, Georgia), in which RoundTable acquired a majority interest in 2005, which specializes in manufacturing and sourcing of surgical instruments. The companies will form a new medical device outsourcing platform named Avalign Technologies.
Financial terms of the transaction and RoundTable’s investment were not disclosed.
“We are excited about the combination of Advantis and Instrumed to form Avalign,” said Joseph Damico, a founding partner of RoundTable and now chairman of Avalign. “We are impressed with Advantis’ design and engineering capabilities and its strong commitment to quality and customer service. These core competencies, combined with Instrumed’s expertise in manufacturing and sourcing precision surgical instruments, will position Avalign as a leading full-service provider of outsourced services to medical device OEM customers.”
With the formation of Avalign, RoundTable reported that Forrest Whittaker has joined as Avalign’s CEO. Whittaker previously served as president/COO of Teleflex Medical and in various executive roles at Tyco Healthcare, Baxter Healthcare and American Hospital Supply.
RoundTable facilitated completion of new senior credit facilities and a private placement of subordinated notes. The senior credit facilities were led by LaSalle Bank; GE Healthcare Financial Services also participated in the transaction. Avalign’s senior subordinated notes were purchased by RoundTable Capital Partners, RoundTable’s $200 million captive subordinated debt fund.
RoundTable is a private equity firm focused on healthcare.
• Inverness Medical (Waltham, Massachusetts) reported that it has acquired Med-Ox Chemicals (Ottawa, Canada), a distributor of professional diagnostic products to the Canadian marketplace for about $5.4 million. Inverness said the acquisition provides it with an established Canadian distribution network for its professional diagnostic products and is consistent with efforts to continue to improve margins by bringing distribution in-house. Med-Ox revenues for its fiscal year-ended Oct. 31, 2006 were roughly $6 million.
Inverness is a developer of advanced diagnostic devices and is exploring new opportunities for its electrochemical and other technologies in a variety of professional diagnostic and consumer-oriented applications.
• AngioDynamics (Queensbury, New York) and Rita Medical Systems (Fremont, California) reported expiration of the Hart-Scott-Rodino waiting period in connection with AngioDynamics’ acquisition of RITA.
Closing of the merger, about Jan. 29, remains subject to customary conditions, including adoption of the merger by holders of RITA’s common stock, and approval of the issuance of AngioDynamics common stock by holders of AngioDynamics’ common stock. The meetings of the companies’ stockholders are set for 9 a.m. PST, Jan. 29, in Fremont.
AngioDynamics is a provider of medical devices for the minimally invasive diagnosis and treatment of peripheral vascular disease.
RITA makes products that provide oncology therapy options for cancer patients including radiofrequency ablation (RFA) systems and embolization products for treating cancerous tumors, as well as percutaneous vascular and spinal access systems for systemic treatments.
• Saint-Gobain Performance Plastics (Aurora, Ohio) said it finalized the acquisition of Consolidated Polymer Technologies (CPT; Clearwater, Florida), a manufacturer of thermoplastic elastomer tubing, resin, molded products and equipment. Terms were not disclosed.
The business supplies C-Flex brand products to medical and pharma customers. Saint-Gobain has integrated the CPT business into its Healthcare business unit, which is part of SGPPL’s Fluid Systems division. C-Flex brand products will be marketed under the Saint-Gobain Performance Plastics name.
• Genesis HealthCare (Kennett Square, Pennsylvania) said it has agreed to be acquired for $63 per share in cash, by a joint venture between affiliates of Formation Capital, and JER Partners.
The price represents a premium of roughly 31.1% over the average closing price for GHC common stock over the past 30 trading days. The aggregate transaction value, including the assumption of roughly $450 million of debt, is about $1.7 billion.
GHC will be operated as a privately held, independent company controlled by the JER/Formation joint venture. GHC will continue to operate under the Genesis name.
Genesis HealthCare is one of the nation’s largest long-term care providers with more than 200 skilled nursing centers and assisted living residences in 13 eastern states. Genesis also supplies contract rehabilitation therapy to over 600 healthcare providers in 20 states and the District of Columbia.