LeMaitre Vascular (NSDQ:LMAT) said it will pay $4.6 million for Neovasc’s (NYSE:NVC) XenoSure vascular patch, used to repair blood vessels.
The Burlington, Mass.-based medical device company won exclusive distribution rights for XenoSure in 2009, according to a press release, booking revenues of $2.8 million during fiscal 2010 and $4.5 million in FY2011 from sales of the patch.
“Following the manufacturing transfer, we expect our XenoSure gross margin will improve from approximately 50% to 65%. In addition, this option exercise will enable us to extend and enhance the product line,” LeMaitre president David Roberts said in prepared remarks.
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Analysts’ ups and downs
- Boston Scientific (NYSE:BSX): J.P. Morgan maintains “neutral” rating.
- Globus Medical (NYSE:GMED): Piper Jaffray reiterates Overweight rating, raises price target from $18 to $21.
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- Medtronic (NYSE:MDT): Wells Fargo maintains “outperform” rating
- Sunshine Heart (ASX:SHC): Canaccord Genuity reiterates Buy rating, raises price target from $11 to $12.50.
