CryoLife aims to use proceeds from the deal for general corporate purposes, contingent consideration obligations, and potential debt repayment
CryoLife received a $25m upfront payment from Baxter. (Credit: Gerd Altmann from Pixabay)
Baxter Healthcare, a subsidiary of Baxter International, has completed the acquisition of PerClot product line from CryoLife for around $60.8m.
Under the deal, CryoLife received a $25m upfront payment from Baxter. The remaining amount will be paid based on the achievement of certain select milestones.
CryoLife aims to use proceeds from the deal for general corporate purposes, contingent consideration obligations, and potential debt repayment.
The transaction included the acquisition of certain assets related to the PerClot polysaccharide hemostatic system.
PerClot, which is not yet commercialised in the US, is globally marketed with sales in over 35 countries.
A polysaccharide hemostatic powder will serve as an adjunctive hemostat to enable control of bleeding from capillary, venous or arteriolar vessels to address low-grade intraoperative bleeding.
PerClot consists of plant starch, which is altered to create an adhesive hemostatic powder. It serves as an adjunctive hemostatic device to control bleeding during multiple open and laparoscopic surgical procedures such as gynecologic, general, cardiovascular and urology.
The system has the potential to quickly absorb water from blood to produce a gelled matrix, which adheres to and forms a mechanical barrier with the bleeding tissue.
The deal is said to reinforce Baxter’s strategy of acquiring products and technologies, which will complement and boost its portfolio across the hospital, including in the operating room.
Baxter advanced surgery business president Wil Boren said: “The addition of PerClot further enhances our ability to optimize patient care by addressing a broad range of intraoperative bleeding with both active and passive hemostatic solutions, helping surgeons to use the right product for the right bleed.
“PerClot launches Baxter into the attractive hemostatic powder segment, while expanding our surgical offerings and complementing our recent acquisition of Seprafilm Adhesion Barrier.”
Recently, CryoLife completed a multicentre and randomised controlled clinical trial of over 300 patients aimed to support an application for the Food and Drug Administration (FDA) approval.
The study achieved the safety and efficacy of PerClot in reaching intraoperative hemostasis compared to the control.