Merit Medical Systems, Inc. has announced that it has acquired substantially all of the assets of Vascular Insights, LLC, based in Quincy, USA. Vascular Insights’ primary assets are the ClariVein IC and ClariVein OC specialty infusion and occlusion catheter systems, which have been utilised in more than 120,000 cases to treat superficial venous disease, particularly below the knee (BTK), and in venous leg ulcers (VLU). The ClariVein systems address a $700 million global market. The ClariVein IC system has 510(k) clearance from the US FDA, the ClariVein OC system is CE-marked, and the systems are covered by 43 patents issued worldwide.
The purchase price was US$40 million plus additional milestone payments that could amount to an additional US$20 million if certain sales targets are achieved.
“We have had our eye on these products for some time,” said Fred P Lampropoulos, Merit’s chairman and CEO. “These products complement our existing peripheral intervention sales platform, add to our capability to provide many existing Merit products, such as our micropuncture and vascular access products, and increase our ability to customise the entire procedure for our customers. Additionally, our global sales footprint allows for expansion of sales in previously underserved areas.”
“We are excited to reach this agreement with Merit,” said James (Chip) Draper, chief executive officer of Vascular Insights. “This acquisition will allow ClariVein to reach more patients in more ways and in more places with the commitment to treat venous disease.”
“I am thrilled that Merit and ClariVein will bring transformative relief to millions of venous disease sufferers worldwide, especially those suffering from debilitating venous leg ulcers,” said Michael Tal, inventor of the ClariVein systems and co-founder of Vascular Insights.
The effect of the Vascular Insights acquisition on Merit’s earnings for 2018 is expected to be dilutive to Merit’s earnings per share on a GAAP basis of approximately (US$0.03) per common share and on a non-GAAP basis of approximately (US$0.02) per common share, with both Merit’s GAAP, non-GAAP gross margins, and revenue contributions expected to be inconsequential for 2018.