Xoft Axxent Electronic Brachytherapy (eBx) System (photo courtesy of iCAD)
Radiotherapy provider Elekta has expanded its stake in the brachytherapy market with a payment of approximately $5.5 million for iCAD’s Xoft business.
The deal transfers all liabilities and employees to Elekta, along with the Xoft Axxent Electronic Brachytherapy (eBx) System, which uses a miniaturized low-energy X-ray source instead of a radioactive isotope, primarily in treatments for breast, non-melanoma skin, gynecological, and brain cancers. Additional indications for colorectal, prostate, and pancreatic cancers are in development.
It can be applied in various clinical settings with minimal shielding to administer tailored radiation doses based on a patient’s specific needs while sparing surrounding healthy tissue.
“We will be able to provide a wider range of radiation therapy options that are tailored to the specific needs and preferences of the clinics we support, while helping to reduce their operational costs — since no extensive shielding is needed — and minimize their logistical challenges such as importing radioactive material,” said John Lapré, president of brachy and neuro solutions at Elekta, in a statement.
The Xoft System is FDA-cleared and CE-marked for treating cancer anywhere in the body and is used in more than 120 healthcare facilities in 16 countries and licensed in more countries. Elekta’s brachytherapy applicators are used in more than 120 countries, and the company’s global network will expand the reach of the Xoft technology to these and other places.
Elekta will assume control of the Xoft business effective immediately, and make final payments to iCAD by November 6. iCAD will provide more details about the deal and the impact on its cash balance sheet and operations during its third-quarter earnings call.
“We have been in the process of exploring strategic options for the Xoft business that would accelerate the accessibility of this technology and provide more focus and synergies to its growth. We are pleased that Elekta will be acquiring the Xoft subsidiary including both the technology and team,” said Dana Brown, president and CEO of iCAD.
The acquisition is expected to be completed in the second quarter of Elekta’s fiscal 2023/2024 year.