Cancer diagnostics firm Neoprobe Corp. (NYSE:NEOP) sold its Gamma Detection Systems sector to Devicor Medical Products Inc. in a deal that’s worth up to $50 million.
Devicor, based in Pleasant Valley, Wis., agreed to pay $30 million up front and up to $20 million in royalty payments.
Dublin, Ohio-based Neoprobe will get the full royalty payment if Devicor tops $21 million in sales of the devices in the next five years.
The companies had a working relationship prior to the deal. Devicor acquired marketing and distribution rights for Gamma Detection Systems as part of a package deal when it purchased Johnson & Johnson (NYSE:JNJ) subsidiary Ethicon-Endo Surgery, now called Mammotome.
With this latest divestiture, Neoprobe plans to focus its efforts on drug development, including an upcoming bid to gain regulatory approval for its Lymphoseek drug, which identifies cancerous lymph nodes in patients with breast cancer or melanoma, according to a release.
Here’s a roundup of companies announcing mergers, acquisitions and divestitures.
- Premia Spine picks up Impliant assets
Premia Spine Ltd. announced acquisition of fellow Israeli company Impliant Ltd.’s assets, including 16 worldwide patents. Premia plans to commercially launch their newly acquired TOPS and Versalink spinal fusion products in the third quarter of 2011, and are "actively seeking" distributors around the world.
- Integra Lifesciences acquires SeaSpine for $89 million in cash
Integra LifeSciences Holdings Corporation (NSDQ:IART) announced the acquisition of SeaSpine Inc. for $89 million, subject to post-closing adjustments. Vista, Calif.-based SeaSpine develops spinal fixation products and has a customer base across the U.S. and in select European markets. The acquisition effectively doubles Plainsboro, N.J.-based Integra’s footprint in the U.S. spine hardware market.
- Kensey Nash picks up Norian from Synthes
Exton, Pa.-based Kensey Nash Corp. (NSDQ:KNSY) announced acquisition of fellow Keystone State company Synthes Inc.’s (VTX:SYST) entire Norian product line for $22 million in cash. As part of a long-term supply agreement, Kensey Nash will manufacture the Norian products, and Synthes will exclusively distribute the products worldwide. The U.S. government ordered Synthes to sell its Norian subsidiary in October, after three people died in illegal clinical trials.