Say hello to MassDevice +5, a bite-sized view of the top five medtech stories of the day. This feature of MassDevice.com’s coverage highlights our 5 biggest and most influential stories from the day’s news to make sure you’re up to date on the headlines that continue to shape the medical device industry.
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5. GE shares slide on sales miss, despite healthcare contributions
Shares in GE Healthcare slid today before the market opened before sliding a further -2% after the industrial conglomerate missed top-line expectations for the 4th quarter and full year, despite solid contributions from its GE Healthcare subsidiary.
GE Healthcare put up profits of $1.03 billion, up 9.8%, on sales growth of 2.6% to $5.10 billion for the 3 months ended Dec. 31, 2016. For the full year, profits were up 9.7% to $3.16 billion, on revenues of $18.29 billion, for top-line growth of 3.7%. The division’s bottom-line growth was driven by “volume growth and cost productivity, partially offset by price,” GE said. Read more
4. Patent board invalidates RainDance patent for obviousness
The Patent Trial and Appeal Board invalidated a RainDance Technologies patent earlier this week for obviousness. The patent, which covers a method for manipulating the size of liquid droplets used in microfluidic diagnostic tests, was challenged by manufacturer 10X Genomics Inc.
The panel, after conducting an inter partes review, found that the technique’s characteristics, which RainDance argued distinguish its technology from similar inventions, are obvious and that a reasonably trained scientist could infer and apply them on their own. Read more
3. Fraud conviction stands, but $13m penalty to be reevaluated for ex-Heart Tronics exec Stein
A federal appeals court this week ruled that a $13.2 million penalty against former Heart Tronics CEO Mitchell Stein should be reevaluated, but upheld an associated fraud conviction.
Stein was convicted in May 2013 of 14 charges of fraudulently inflating share prices for heart monitoring devices maker Signalife, later known as Heart Tronics. Read more
2. Smith & Nephew pulls the trigger on planned CFO succession
Smith & Nephew said last week that CFO Julie Brown left the orthopedics & wound care company, after announcing her succession last July.
Brown was named finance chief in November 2012 and assumed the role in February the following year. She is moving on to work as chief operating & financial officer for British luxury brand Burberry. Read more
1. J&J’s Ethicon picks up electrosurgical tool maker Megadyne Medical
Johnson & Johnson subsidiary Ethicon Endo-Surgery said today that it paid an unspecified amount for Megadyne Medical Products, 4 years after inking a collaboration deal with the electrosurgical tools maker.
“We are committed to meeting the evolving needs of surgeons and hospital systems, and the addition of Megadyne’s state-of-the-art portfolio gives us a comprehensive suite of energy devices to improve patient care in surgeries across all specialties,” Ethicon chairman Michael del Prado said in prepared remarks. “This acquisition will help accelerate and expand innovation across the entire energy portfolio, broadening our surgical and energy solutions to provide clinical and economic value to customers worldwide.” Read more
