St. Jude Medical
St. Jude Medical Will Purchase EP MedSystems
April 09, 2008
by Joan Trombetti, Writer
St. Jude Medical announced that it will purchase EP MedSystems, Inc. for approximately $92.1 million. The Boards of Directors of both companies approved a merger agreement.
When the transaction is complete St. Jude Medical will add two new growth drivers to its program of products used in atrial fibrillation (AF) and other electrophysiology (EP) catheterization procedures, including the EP-WorkMate® computerized electrophysiology workstation with a fully integrated EP-4™ Computerized Cardiac Stimulator and expansion options to incorporate the NurseMate™ Remote Review Charting Station.
This transaction will also expedite St. Jude Medical's entry into the high-growth intracardiac ultrasound echocardiography (ICE) market with the EP MedSystems ViewMate® II intracardiac ultrasound system and the next generation ViewFlex™ PLUS ICE catheter scheduled for market release this quarter. This market is growing at an estimated 25 percent to 30 percent per year and includes both electrophysiology and interventional cardiology applications.
Chairman, president and chief executive office of St. Jude Medical, Daniel J. Starks said that the transaction will accelerate the growth of St. Jude Medical's program to help physicians cure atrial fibrillation and EP MedSystems' new ClearWave™ signal recording technology and its next generation ViewFlex™ PLUS ICE catheter will be especially important additions to our AF technology platform.
David Bruce, president and chief executive officer of EP MedSystems stated that with growth accelerating over the past year, EP MedSystems' products and market position are stronger than they've ever been thanks to the focus and efforts of our employees. He continued by saying that transaction delivers significant shareholder value and enables EP MedSystems' key product platforms to benefit from the extensive worldwide distribution, customer support and product development infrastructure of St. Jude Medical.
The transaction is subject to certain closing conditions and regulatory approvals, and approval by EP MedSystems shareholders. Following the close of the transaction, Bruce is expected to join St. Jude Medical, and EP MedSystems will become part of the Atrial Fibrillation division of St. Jude Medical.
In connection with the transaction, Gibson, Dunn & Crutcher, LLP is serving as legal counsel for St. Jude Medical. Piper Jaffray & Co. is acting as financial advisor to EP MedSystems, and Morgan, Lewis & Bockius LLP is serving as legal counsel for EP MedSystems.
About EP MedSystems
EP MedSystems develops, manufactures and markets a line of products for use in the cardiac rhythm management or electrophysiology market, which are used for visualization, diagnosis and treatment of cardiac rhythm disorders. EP MedSystems' EP product line includes the EP-WorkMate® computerized electrophysiology workstation, with expansion options to incorporate the NurseMate™ Remote Review Charting Station, and the EP-4™ Computerized Cardiac Stimulator. In addition, EP MedSystems' intracardiac echo (ultrasound or ICE) ultrasound catheter system, including its ViewFlex® intracardiac imaging catheters and ViewMate® II ultrasound imaging system, is used for live visualization of devices and anatomy during catheter based procedures in EP and interventional cardiology. Full year 2007 net sales for EP MedSystems were approximately $19 million. For more information, visit EP MedSystems' website at www.EPMedSystems.com
About St. Jude Medical
St. Jude Medical is dedicated to making life better for cardiac, neurological and chronic pain patients worldwide through excellence in medical device technology and services. St. Jude Medical has five major focus areas that include: cardiac rhythm management, atrial fibrillation, cardiac surgery, cardiology and neuromodulation. Headquartered in St. Paul, Minn., St. Jude Medical employs approximately 12,000 people worldwide. For more information, please visit www.sjm.com.
When the transaction is complete St. Jude Medical will add two new growth drivers to its program of products used in atrial fibrillation (AF) and other electrophysiology (EP) catheterization procedures, including the EP-WorkMate® computerized electrophysiology workstation with a fully integrated EP-4™ Computerized Cardiac Stimulator and expansion options to incorporate the NurseMate™ Remote Review Charting Station.
This transaction will also expedite St. Jude Medical's entry into the high-growth intracardiac ultrasound echocardiography (ICE) market with the EP MedSystems ViewMate® II intracardiac ultrasound system and the next generation ViewFlex™ PLUS ICE catheter scheduled for market release this quarter. This market is growing at an estimated 25 percent to 30 percent per year and includes both electrophysiology and interventional cardiology applications.
Chairman, president and chief executive office of St. Jude Medical, Daniel J. Starks said that the transaction will accelerate the growth of St. Jude Medical's program to help physicians cure atrial fibrillation and EP MedSystems' new ClearWave™ signal recording technology and its next generation ViewFlex™ PLUS ICE catheter will be especially important additions to our AF technology platform.
David Bruce, president and chief executive officer of EP MedSystems stated that with growth accelerating over the past year, EP MedSystems' products and market position are stronger than they've ever been thanks to the focus and efforts of our employees. He continued by saying that transaction delivers significant shareholder value and enables EP MedSystems' key product platforms to benefit from the extensive worldwide distribution, customer support and product development infrastructure of St. Jude Medical.
The transaction is subject to certain closing conditions and regulatory approvals, and approval by EP MedSystems shareholders. Following the close of the transaction, Bruce is expected to join St. Jude Medical, and EP MedSystems will become part of the Atrial Fibrillation division of St. Jude Medical.
In connection with the transaction, Gibson, Dunn & Crutcher, LLP is serving as legal counsel for St. Jude Medical. Piper Jaffray & Co. is acting as financial advisor to EP MedSystems, and Morgan, Lewis & Bockius LLP is serving as legal counsel for EP MedSystems.
About EP MedSystems
EP MedSystems develops, manufactures and markets a line of products for use in the cardiac rhythm management or electrophysiology market, which are used for visualization, diagnosis and treatment of cardiac rhythm disorders. EP MedSystems' EP product line includes the EP-WorkMate® computerized electrophysiology workstation, with expansion options to incorporate the NurseMate™ Remote Review Charting Station, and the EP-4™ Computerized Cardiac Stimulator. In addition, EP MedSystems' intracardiac echo (ultrasound or ICE) ultrasound catheter system, including its ViewFlex® intracardiac imaging catheters and ViewMate® II ultrasound imaging system, is used for live visualization of devices and anatomy during catheter based procedures in EP and interventional cardiology. Full year 2007 net sales for EP MedSystems were approximately $19 million. For more information, visit EP MedSystems' website at www.EPMedSystems.com
About St. Jude Medical
St. Jude Medical is dedicated to making life better for cardiac, neurological and chronic pain patients worldwide through excellence in medical device technology and services. St. Jude Medical has five major focus areas that include: cardiac rhythm management, atrial fibrillation, cardiac surgery, cardiology and neuromodulation. Headquartered in St. Paul, Minn., St. Jude Medical employs approximately 12,000 people worldwide. For more information, please visit www.sjm.com.