Irvine med tech firm makes $23M acquisition
Lombard Medical, an Irvine-based medical device company focused on treating aneurysms, announced last week its $23 million acquisition of Altura Medical, a venture-backed company in Silicon Valley that developed a new endovascular stent graft system for treating abdominal aortic aneurysms.
Lombard plans to launch the new Altura-developed system in Europe next January with a broader international rollout throughout 2016. In the U.S., the company plans to file with the FDA early next year for permission to begin a clinical study on the equipment.
“The acquisition of Altura and the launch of its new stent graft will provide a substantial increase in revenues,” said Lombard CEO Simon Hubbert. “In fact, we believe the innovative new technology could account for up to 20 percent of our 2016 total revenue.”
The terms of the transaction include the issuance of $15 million of Lombard common stock at $4 per share, the assumption of $5.5 million in bank debt, and $2.5 million in certain liabilities and transaction-related costs. Lombard will pay additional amounts up to $27.5 million if sales of the Altura product reach certain commercial and regulatory milestones during the next five years.
http://www.ocregister.com/articles/million-676117-lombard-medical.html