AngioDynamics, Inc., a leading provider of innovative, minimally invasive medical devices for oncology, vascular access, and peripheral vascular disease, today announced that it has entered into a definitive agreement to sell its NAMIC ® fluid management portfolio to Medline Industries, Inc. for $167.5 million, subject to customary closing conditions including antitrust review under the Hart-Scott-Rodino Antitrust Improvements Act of 1976.
The transaction consists of AngioDynamics’ NAMIC brand and its extensive offering of manifolds, contrast management systems, closed fluid systems, guidewires, disposable transducers, and interventional accessories. Additionally, AngioDynamics’ primary Glens Falls, New York manufacturing facility, including all related manufacturing jobs and the sales & marketing teams that support the NAMIC business, will be acquired by Medline as part of the transaction.
Upon completion of the transaction, AngioDynamics intends to use the net cash proceeds of approximately $160.0 million to pay down all outstanding debt. The cash balance of approximately $74.0 million will be used to support strategic investments in the Company’s existing portfolio to drive enhanced growth and future profitability.
“Today marks another important chapter in the transformation of AngioDynamics. Over the past three years, we have streamlined our manufacturing operations and made significant improvements to our research and development process, enabling us to develop high-quality, innovative medical devices for our customers,” said Jim Clemmer, President and Chief Executive Officer of AngioDynamics. “These actions, combined with our ongoing portfolio optimization efforts, including today’s announced transaction with Medline, provide us with the foundation to drive sustainable and increased top-line growth and deliver high-quality new therapies that address unmet patient needs. We are excited that this strategic transaction will enable us to accelerate highly-focused investments in our key therapeutic areas including Oncology and Thrombus Management.”
Want to publish your own articles on DistilINFO Publications?
Send us an email, we will get in touch with you.
Mr. Clemmer added, “Through this acquisition, Medline gains a deeply experienced and dedicated workforce with a strong commitment to delivering high-quality, dependable devices that clinicians trust to provide the best patient care. We are pleased that Medline, an industry-leading manufacturer and distributor, is acquiring the NAMIC portfolio, and we welcome the Medline team to the vibrant business community of ‘Catheter Valley’.”
“The NAMIC Fluid Management business is a natural fit with our world-class portfolio of medical devices and supplies. Medline’s scale and extensive kitting operations are sure to drive more momentum for NAMIC products and deliver opportunities for efficiency for customers,” said Charlie Mills, Chief Executive Officer of Medline. “We have been very impressed with the quality of the products and the team behind them, and Medline intends to maintain manufacturing in Glens Falls. We look forward to joining the local business community and growing the business in the coming years.”
Barclays is serving as financial advisor, and Cadwalader, Wickersham & Taft is serving as legal advisor to AngioDynamics.
Conference Call
AngioDynamics’ management will host a conference call today at 5:00 p.m. ET to provide additional details about the transaction and the Company’s strategy. To participate in the conference call, dial 1-877-407-0784 (domestic) or 1-201-689-8560 (international) and refer to the passcode 13689968.
This conference call and the accompanying presentation will also be webcast and can be accessed from the “Investors” section of the AngioDynamics website at www.angiodynamics.com. The webcast replay of the call will be available at the same site approximately one hour after the end of the call.
A recording of the call will also be available from 8:00 p.m. ET on Wednesday, April 17, 2019, until 11:59 p.m. ET on Wednesday, April 24, 2019. To hear this recording, dial 1-844-512-2921 (domestic) or 1-412-317-6671 (international) and enter the passcode 13689968.
Date: April 22, 2019
Source: OA Online
