Biocompatibles International has announced the sale of its cardiovascular stent business and associated drug-eluting stent programmes to Abbott Laboratories.
The deal also grants a licence for the use of Phosphorylcholine (PC) Technology by Abbott on certain devices in the fields of interventional cardiology, interventional radiology and interventional neuroradiology.
The gross consideration receivable for the cardiovascular stent business is said to be £164.7 million in cash, of which approximately £25.8 million will be used for the repayment of all outstanding debt due to Abbott.
In addition, Biocompatibles will be entitled to receive royalties on the sale of drug-eluting cardiovascular stents by Abbott worldwide.
The directors of Biocompatibles believe that, if Abbott is successful in gaining a significant share of the future drug-eluting stent market, the royalties could deliver a substantial increment to the initial cash value of the transaction.
The transaction is subject to approval by Biocompatibles’ shareholders and certain regulatory clearances.