MedAlliance announced today that Cordis acquired it for a total consideration that could reach up to $1.135 billion.
The companies initially announced the planned deal in October of last year.
Cordis, which develops interventional cardiovascular and endovascular technologies, made a $35 million investment last year. Its upfront closing payment totals $200 million, with achievement milestones reaching up to $125 million. With up to $775 million available in commercial milestones through 2029, the total consideration comes to $1.135 billion.
MedAlliance develops the Selution SLR sustained sirolimus drug-eluting balloon program. The company said its product family complements Cordis’ existing product portfolio along with its sales, marketing and distribution expertise.
Selution SLR provides a controlled sustained drug release, similar to a drug-eluting stent. It features unique micro-reservoirs made of biodegradable polymer intermixed with sirolimus. The micro-reservoirs provide a controlled and permanent release of the drug for up to 90 days. MedAlliance’s CAT (cell-adherent technology) allows microdeposits to coat the balloons and adhere to the vessel lumen when delivered through an angioplasty balloon.
Geneva, Switzerland-based MedAlliance has achieved a range of regulatory milestones to date. It first earned CE mark for treating peripheral artery disease in February 2020, then coronary artery disease in May 2020.
MedAlliance received its first FDA investigational device exemption (IDE) for Selution SLR in below-the-knee indications in May 2022. It picked up a second IDE in August. Those regulatory nods cover occlusive disease of the superficial femoral artery (SFA) and coronary in-stent restenosis (ISR). Another IDE came in January for the treatment of coronary de novo lesions.
The balloon is commercially available in Europe, Asia, the Middle East and the Americas outside the U.S.
Executives comment on the Cordis acquisition of MedAlliance
Jeffrey B. Jump, MedAlliance founder, chair and CEO, said the acquisition can accelerate access to the company’s technology.
“I want to thank our entire MedAlliance team – including physicians, distributors and clinical patients – who have succeeded in disrupting the coronary and peripheral markets to provide a safe and effective new technology,” Jump said. “The arsenal of Selution SLR DEB clinical data is designed to change medical practice and improve patient outcomes.”
Shar Matin, Cordis CEO, noted that the company introduced its Cypher drug-eluting stent nearly 20 years ago. Matin said that transformed cardiovascular treatment for patients around the world. The new M&A deal comes more than two years after Cordis once again became an independent company though its sale to Hellman & Friedman. (KKR and Ajax Health are also investment partners.)
“As a newly independent company, we are beyond proud to further our legacy of innovation and market disruption with MedAlliance and the first MicroReservoir sirolimus drug-eluting balloon, Selution SLR,” Matin said.
