Covidien to Buy VNUS Medical Technologies
Forbes reports that medical device maker Covidien is buying VNUS Technologies for $440 million in cash. California-based VNUS makes products to treat varicose veins and venous reflux disease, a circulatory condition that causes blood to pool in the legs. According to VNUS President and CEO Brian E. Farley, approximiately half a million patients have been treated with the VNUS Closure catheter to date. The device is marketed as a less invasive, less painful alternative to traditional vein stripping surgery and laser treatment. Covidien plans to make VNUS part of its vascular product line.
The transaction is expected to be completed by June 30, 2009. Covidien expects that the purchase will reduce their 2009 profits by a small amount, to be offset by the strength of their existing businesses. On Friday, VNUS reported first quarter net profits of $1.9 million.
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[...] products, imaging solutions, and medical supplies. The Mansfield, Mass., company recently purchased VNUS Medical, developer of a minimally invasive treatment for varicose veins, for $440 [...]