LivaNova has inked a pact to sell its Cardiac Rhythm Management (CRM) business to its joint venture partner, MicroPort Scientific. The all-cash deal is slated to close in the second quarter of 2018.
The London-based company has been seeking a buyer for its CRM unit since at least September. The business develops and markets devices for the diagnosis and treatment of heart failure and cardiac arrhythmias. These include defibrillators, pacemakers and cardiac resynchronization therapy devices.
Cardiac Surgery and Neuromodulation make up LivaNova’s two other businesses. CRM has a strong presence in Europe and Japan, posting $249 million in net sales for fiscal 2016. But LivaNova is letting the business go, as it no longer fits in with the direction the company is going.
“The CRM business franchise is a global business and strong regional player with attractive assets, a robust pipeline and growth potential,” said LivaNova CEO Damien McDonald when the company announced is plans for the CRM business. “However, it is no longer a strategic fit within LivaNova’s portfolio.”
LivaNova teamed up with MicroPort on a joint venture in 2014, to market its CRM devices in China. The duo has made steady progress since then, notching a China FDA approval for LivaNova’s Rega pacemaker, which became one of the smallest pacemakers available in China.
“With this divestiture, we are building the right foundation,” McDonald said in a statement. “We are focusing our portfolio on businesses that contribute to our growth and drive shareholder value. In addition to the implementation of other initiatives, completion of this milestone will allow LivaNova to improve margins, drive profitability and deliver on our commitments to shareholders.”
By Amirah Al Idrus
Source: Fierce Biotech
Giovanni Caforio, the former CEO of Bristol Myers Squibb, is set to become the next board chairman of Novartis, which on Tuesday proposed the pharmaceutical industry veteran as its pick to replace Joerg Reinhardt in the role next year. Reinhardt has served as Novartis’ chair since 2013 and plans to retire when his 12-year term ends in 2025.
GE HealthCare has raised the curtain on two ultrasound systems equipped with artificial intelligence programs designed to assist in diagnosing conditions in women’s health, including obstetric exams. The Voluson Signature 20 and 18 imaging systems include AI tools capable of automatically identifying and annotating measurements of fetal anatomy.
Scientists from the University of Edinburgh’s School of Chemistry have revealed a new sustainable method of manufacturing complex molecules that could reduce waste produced during drug production. The method published in Nature Chemistry could help to prevent severe side effects caused by drugs that can exist as enantiomers.
