19th Apr 2023 08:24
(Alliance News) - Convatec Group PLC on Wednesday said it has bought the anti-infective nitric oxide technology platform of 30 Technology Ltd.
The Reading, England-based medical products and technologies company was promoted to the FTSE 100 back in September. It sells products and services in wound & skin care, ostomy care, continence & critical care, and infusion devices.
Convatec said that it has paid an initial GBP45 million. There is an additional milestone payment of GBP47 million, due upon regulatory clearances in the US and Europe, and further potential payments of up to GBP84 million, based on sales of products over the lifetime of the acquired patents.
The acquisition will have no impact on the sales and margin guidance for 2023, the company said.
Convatec said the acquisition includes new product assets and research & development.
"The innovative technology platform and new product pipeline complement Convatec's strong advanced wound care portfolio and strengthen its ability to provide best-in-class solutions for patients. Other potential applications for this technology include the prevention of urinary tract infections as well as other transformative applications," it explained.
Convatec expects to launch the first new product based on this technology, which will be in the Advanced Wound Care market, in 2025.
Further, as part of the acquisition, 30 Technology's technical and leadership team, which is located in Oxfordshire, will transfer to Convatec.
Convatec noted that 30 Technology retains the rights to respiratory medicine, animal health, oral surgery, and a range of other therapeutics applications.
"This nitric oxide-based technology platform represents a unique natural antimicrobial and antibiofilm mode of action that is based on compelling scientific and clinical data as well as knowhow," said Chief Technology Officer & Head of Research & Development Divakar Ramakrishnan.
"We are looking forward to commercialising this innovative technology, across a variety of medtech device applications starting with Advanced Wound Care. Our leading global research and development, operations and commercial teams are eager to support them in bringing pioneering products to market."
Shares in Convatec were down 0.6% at 218.40 pence each in London on Wednesday morning.
By Sophie Rose, Alliance News reporter
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