Spectranetics Announces Agreement To Acquire AngioScore Inc.

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Acquisition Expands Available Market Opportunity

Differentiated, complementary product lines combine to provide multiple solutions for the most complex cardiovascular challenges

COLORADO SPRINGS, Colo. and FREMONT, Calif., May 27, 2014 (GLOBE NEWSWIRE) -- The Spectranetics Corporation (Nasdaq:SPNC) today announced that it has entered into a definitive merger agreement under which Spectranetics will acquire AngioScore Inc., a leading developer, manufacturer and marketer of cardiovascular, specialty balloons for $230 million in up-front consideration, along with additional contingent commercial and regulatory milestone payments. The transaction will combine two successful, double-digit growth companies committed to solving complex cardiovascular challenges in both the peripheral and coronary markets and is expected to:
  • Expand Spectranetics' addressable markets
  • Significantly add to the life- and limb-saving solutions Spectranetics can offer physicians and their patients
  • Broaden the product pipeline, including the addition of a proprietary drug-coated scoring balloon platform
  • Enhance and leverage Spectranetics' strong sales and marketing capabilities
  • Add to Spectranetics' topline growth
  • Drive significant operating efficiencies and savings

Subject to customary closing conditions, the transaction is expected to close on or near June 30, 2014, at which point AngioScore will become a wholly owned subsidiary of Spectranetics. The up-front consideration consists of $115 million in cash and $115 million of Spectranetics common stock, although, as permitted by the merger agreement, Spectranetics intends to fund the entire $230 million up-front amount in cash with proceeds from a proposed convertible note offering. Piper Jaffray & Company acted as exclusive financial advisor to The Spectranetics Corporation and Faegre Baker Daniels LLP is serving as Spectranetics' legal counsel.

"We have consistently discussed our strict criteria in evaluating partnering opportunities," said Scott Drake, President and CEO of Spectranetics. "AngioScore meets our criteria with an exceptional strategic fit, leverageable call points, differentiated technology and clear operating efficiencies. As a combined entity, we expect to have a meaningfully expanded market opportunity and a compelling product portfolio."

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