A Medical Device Daily

Mesa Laboratories (Lakewood, Colorado), a manufacturer of electronic measurement instruments, reported that it has completed the purchase of Raven Biological Laboratories (Omaha, Nebraska). Mesa acquired all of the outstanding shares of Raven for about $6.75 million, comprised of $3.5 million in cash and 223,243 shares (valued at $3.25 million) of common stock.

Raven, privately held, designs and manufactures biological indicators and is a provider of sterilization validation services. Raven's biological indicators are used to provide quality control testing in various sterilization processes, including those in dental offices, hospitals and medical device and pharmaceutical manufacturers.

Raven distributes its products worldwide via direct sales and through distributors.

Mesa said that Raven's line of products – producing annual revenues in excess of $4.3 million – will complement its own line of DataTrace logging instruments, utilized within the same industries for sterilization and other process control applications.

Mesa said the acquisition is expected to be accretive to its earnings per share in the current fiscal year, ending March 31, 2007.

Raven will continue to operate at its facility in Omaha, Nebraska with its existing staff under the direction of its president, Robert Dwyer.

In conjunction with deal close, Dwyer has been appointed to Mesa's board. Dwyer has served as president and was the majority owner of Raven Biological Laboratories and is also an attorney. He also serves on the board of American National Bank (Omaha, Nebraska), and has ownership in other small business entities.

“The Raven team has built an excellent reputation for developing and marketing high quality, innovative products for the sterilization market, and we are very excited to combine the talents of our two groups to further serve and enhance Mesa's position in these markets,” said Luke Schmieder, president and CEO of Mesa Labs.

Mesa acquires and manufactures electronic instruments and disposable products for industrial, pharmaceutical and medical applications.

In a winding down of operations or potential sale, HealtheTech (Golden, Colorado) reported that its board has approved dissolution of the company and adopted a plan of complete liquidation to be submitted to stockholders for approval. HealtheTech said it plans to wind down its business, sell or otherwise dispose of assets, discharge its liabilities and distribute net proceeds, if any, to stockholders.

Launched in 1998, HealtheTech has been manufacturing handheld medical devices and software for the measurement of metabolism and nutrition monitoring.

Pending stockholder action, the company is making headcount reductions, securing continuing support for existing customers, seeking purchasers for the sale of its intellectual property and other assets, considering pursuit of potential third-party claims and providing for any liabilities, outstanding or potential.

It said the decision to liquidate was based on board consideration of “recent financial performance and projections, prevailing economic and industry conditions and unsuccessful efforts to sell or merge the company.”

If, prior to its dissolution, it receives an offer for a corporate transaction that will provide superior value than the value of the estimated net distributions under the plan of liquidation, the liquidation plan “could be abandoned.”

The company went public in 2002, with plans to raise $80 million in its IPO. But it attracted only $7.55 a share, raising $34 million.

HealtheTech's stock recently traded at only 35 cents a share, and the company had $2.5 million in market capitalization.