Vascular Solutions Inc. (NSDQ:VASC) paid $5.75 million for a pair of vein-access technologies used in ultrasound procedures.
The Minneapolis-based company expects the new products to begin paying immediate dividends and upped its full-year sales guidance by $2 million.
The two products — Smartneedle and PDaccess — come from Wayne, Pa.-based Escalon Medical Corp. (NSDQ:ESMC), according to a press release. The acquired technologies consist of a handheld monitor and one-time-use needles designed to provide ultrasound-guided access to arteries and veins during catheterization procedures. Their combined annual sales amount to $3.8 million, according to the statement.
Ultrasound procedures use high-frequency sound waves to look at organs and structures inside the body.
Vascular Solutions’ sales team will immediately take over sales of the new products. Manufacturing will transition to Vascular Solutions over the next four months.
The deal prompted Vascular Solutions to boost its full-year sales guidance by $2 million, to between $78 million and $80 million. The company raised its net income guidance by two cents a share, to between 55 cents and 59 cents per diluted share.
Late last month, Vascular Solutions reported its first-quarter financial results. Sales jumped 15 percent to $18 million, while earnings came in at $1.2 million, excluding special items. CEO Howard Root attributed the sales growth in part to the better-than-expected performance of the company’s GuideLiner catheter, which won federal regulatory approval in November 2009.