July 8, 2009 (FinancialWire) — Synovis Life Technologies, Inc. (NASDAQ: SYNO) (Current Market Cap: $219.34 Mil.) has agreed to acquire substantially all the assets of Pegasus Biologics, Inc., a privately held medical device company. The purchase price is $12.1 million in cash.
Irvine, California-based Pegasus is focused on the development of advanced biological solutions for soft tissue repair.
The deal resulted from a sealed bid auction process. Synovis said it expects to close the transaction on or before July 15, utilizing current cash reserves.
According to Synovis, around 10,000 patients had been treated with Pegasus' equine pericardial products in various orthopedic and complex wound applications from March 2006 to May 2009, when Pegasus effectively ceased operations after attempts to raise additional operating capital were unsuccessful due to the overall economic climate.
Previously, Pegasus had obtained more than $38 million in venture equity and debt. In 2008, Pegasus generated $9.1 million in revenue and had around 75 employees at year-end, according to Synovis.
Synovis said it plans to maintain Pegasus' manufacturing operations in Irvine and will operate the acquired assets as a separate division.
St. Paul, Minnesota-based Synovis Life Technologies is a medical device company that develops, manufactures and markets medical devices for the surgical treatment of disease.
The company's products include implantable biomaterials for soft tissue repair, devices for microsurgery and surgical tools.
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