AngioDynamics Reenters Embolization Space, Signs Microsphere Deal With EmboMedics
By Jof Enriquez,
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AngioDynamics recently inked a global licensing agreement with EmboMedics to market, sell, and manufacture EmboMedics’ injectable and resorbable microspheres used for the embolization of uterine fibroids and other tumors.
Under the deal announced via a press release, AngioDynamics will make a $2-million equity investment in EmboMedics through the purchase of preferred stock. AngioDynamics gains the right to invest an additional $9 million in equity and milestone payments. In addition, depending on milestones, the company also retains the option to make an outright purchase of EmboMedics in the future.
AngioDynamics designs and produces medical devices, such as catheters to treat blood clots, lasers that remove varicose veins and implants to deliver chemotherapy, according to the Albany Business Review.
The agreement with EmboMedics allows AngioDynamics to re-enter the $150 million global embolic market. A previous agreement to distribute a product for U.K.-based Biocompatibles International ended in 2011 and cost the company $35 million, said Joe DeVivo, president and CEO, a separate report from Albany Business Review said.
“AngioDynamics previously helped to build the embolics market, and with worldwide rights to a margin accretive, truly novel technology, we are poised to emulate that success,” DeVivo said in the press release. “We believe resorbable microspheres represent the future of embolotherapy, allowing for more options in the treatment of patients, and we are excited about the prospect of bringing this technology to our customers worldwide.”
Embolization involves the introduction of substances to occlude blood vessels that supply abnormal growths and tumors. Newer materials such as resorbable microspheres break down over time and eliminated by the body. This allows the recanalization of blood vessels and repeat embolic procedures.
“EmboMedics has focused on advancing minimally-invasive embolization with resorbable technologies, improving the patient experience by designing biodegradable materials that will no longer remain in the arteries indefinitely,” said Dr. Omid Souresrafil, CEO and cofounder of EmboMedics. “We are excited to partner with AngioDynamics, leveraging our technology with its world class sales force and distribution network as we look to introduce our product to the global marketplace.”
EmboMedics has gained the exclusive commercialization rights for microsphere technology from the University of Minnesota which developed the technology. According to the press release, the company plans to apply for U.S. FDA 510(k) clearance to market the device as a resorbable microsphere for the embolization of hypervascular tumors by January 2016.
Image credit: EmboMedics