A Medical Device Daily
Medeorex (New York) said it has signed a term sheet to acquire privately held CardioGenics (Toronto). The transaction is scheduled to close by June 24.
The acquisition will be completed through a merger between CardioGenics and a to-be-formed wholly owned Ontario subsidiary of Medeorex, in which that company will issue shares of its common stock to the shareholders of CardioGenics.
Following the merger, the current shareholders of CardioGenics will hold 75% of the outstanding shares of Medeorex and current Medeorex shareholders will retain 25% of the outstanding shares of Medeorex.
After completion of the merger, CardioGenics will operate as a wholly owned subsidiary of Medeorex.
Completion of the transaction is subject to a fairness opinion as to the valuation of CardioGenics, completion of due diligence, agreement on definitive documentation, and board of directors and shareholders approval of both companies.
CardioGenics, founded in 1997, is a biotech company focused on the development of products for in vitro diagnostics testing.
National Medical Development (NMD; Bellevue, Washington), operating businesses within the outpatient healthcare services market, reported the acquisition of InStar Systems (Colorado Springs, Colorado). Terms were not disclosed.
InStar provides a range of radiology management solutions to the diagnostic imaging industry. Its integrated radiology information system (RIS) helps automate information through radiology departments while integrating many processes such as patient flow, registration, order entry, exam tracking, charge capture, film tracking, transcription, electronic signature, report distribution and management reporting.
The company said InStar will be immediately integrated into its portfolio of companies.
Concurrent with the acquisition, NMD named John Wellbank to the position of CEO. He succeeds Richard Van Eaton, who will assume the post of chief operating officer.