Volcano Corp. (VOLC) recently acquired the Xtract Thrombus Aspiration Catheter device line from Lumen Biomedical. Volcano was previously the exclusive distributor of the device.
This deal is in-line with Volcano’s goal to develop a portfolio of diagnostic and therapeutic tools that will help patients with coronary artery disease including acute myocardial infarction (AMI) or heart attacks.
The Xtract thrombus aspiration catheter supports the care of ST Segment Elevation Myocardial Infarction (STEMI). It delivers fast and powerful clot removal which helps re-establish blood flow quickly. Following this acquisition, Volcano will now have control over the product and rights to the design.
Volcano stated that the Xtract catheter has been well accepted by the interventional cardiology community. We believe that new guidelines issued by the American Heart Association (AHA), the American College of Cardiology (ACC), and the Society for Cardiovascular Angiography and Interventions (SCAI) recommending the use of aspiration thrombectomy for the treatment of STEMI will help boost Xtract catheter sales.
Volcano continues to execute in driving strong top-line growth in the intravascular ultrasound/functional measurement market thanks to new product launches, product enhancements and support from partners in marketing and distribution agreements. While tight hospital budgets could keep a lid on growth in the near-term, we believe that increasing demand for the company’s products will support strong results going forward.
Volcano has a successful track record of acquiring and licensing technologies and collaborating with third parties to create synergistic product offerings. We believe the company will continue seeking in-licensing deals and acquisitions to drive growth. We currently have a Neutral recommendation on Volcano.
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