Guidant Press Releases
Jun 16, 2003
Guidant to Complete Acquisition of Innovative Device for Treatment of Coronary Artery Disease
X Technologies Receives FX miniRAIL U.S. Food and Drug Administration Approval; Conditions of X Technologies Acquisition Fulfilled; Agreement Expected to Close This Quarter
Indianapolis, Ind. - Guidant Corporation (NYSE: GDT), a world leader in the treatment of cardiac and vascular disease, today announced that X Technologies, Inc. has received U.S. Food and Drug Administration (FDA) approval of its FX miniRAIL(tm) balloon catheter, a unique device for the treatment of coronary artery disease.
In March, Guidant announced a definitive agreement to acquire X Technologies upon satisfaction of certain conditions, including FDA approval of the FX miniRAIL. Based on this FDA approval, Guidant expects to complete the acquisition of X Technologies this quarter. As previously disclosed, upon closing Guidant will make a $60.0 million cash payment and forgive a $4.5 million extension of credit. The acquired assets will be booked as intangibles and amortized. Guidant may make additional payments upon future satisfaction of sales performance criteria. The acquisition is expected to be nondilutive.
"Guidant congratulates X Technologies on this significant achievement," said Dana G. Mead, Jr., president, Vascular Intervention, Guidant Corporation. "The FX miniRAIL has demonstrated positive results in the treatment of de novo lesions and in-stent restenosis. We are enthusiastic about the potential of the FX miniRAIL and look forward to soon offering this unique technology to physicians worldwide."
The FX miniRAIL, which features two metal wires external to an angioplasty balloon, received CE Mark approval in December 2001 and is available in Europe, Asia Pacific, the Middle East and Africa. X Technologies is a privately held corporation based in Tustin, Calif., and Yavne, Israel.
Guidant Corporation pioneers lifesaving technology, giving an opportunity for a better life today to millions of cardiac and vascular patients worldwide. The company, driven by a strong entrepreneurial culture of 11,000 employees, develops, manufactures and markets a broad array of products and services that enable less invasive care for some of life''s most threatening medical conditions. For more information, visit www.guidant.com.
This release includes forward-looking statements concerning the acquisition and future performance of the product. The statements are based on assumptions about many important factors, including the closing, future sales of the product and other factors identified on Exhibit 99.1 to the company''s most recent 10-Q. Actual results may differ materially. The company does not undertake to update its forward-looking statements.