Bard Acquires Lutonix for $225M

C. R. Bard, Inc. BCR today announced that it has acquired Lutonix, Inc. for a purchase price of approximately $225 million paid at closing, with an additional $100 million to be paid upon PMA approval of Lutonix's drug-coated percutaneous transluminal angioplasty balloon. The transaction is structured as a merger. Lutonix, located in Minneapolis, Minnesota, is conducting the first and only investigational device exemption (IDE) trial approved by the FDA using drug-coated balloons for the treatment of peripheral arterial disease. Drug-coated balloons have received growing attention in recent years as physicians look for effective ways to treat diseased arteries without having to leave a permanent implant behind. Independent forecasts suggest that the global peripheral vascular market for drug-coated balloons could approach $1 billion annually over the next decade. To date, no such device is approved for use in the United States. The Lutonix LEVANT 2 study is a prospective, randomized, single-blinded, multi-center pivotal IDE trial comparing the Lutonix drug-coated balloon to standard balloon angioplasty. The trial will enroll 476 patients across 55 sites, including 40 in the United States and 15 in Europe. Lutonix began recruiting patients in the third quarter of 2011 and has enrolled over 160 patients to date. Eligible patients suffer from significant stenosis in previously unstented superficial femoral artery or popliteal artery lesions up to 150 mm in length. These patients will be followed for five years, with PMA submission after one year of follow-up. At this time, the company anticipates that submission could occur in 2014.