Medical device multinational Guidant has paid $35 million (€32m) in cash to acquire the rights to a polymer technology from MediVas for use in its drug-coated stent programme.
Drug-coated stents are just starting to reach the market and are expected to develop into a multibillion dollar market, as they are associated with much improved restenosis rates compared to their non-drug-eluting siblings.
In some cases, the rate of restenosis (reclosure of the target blood vessel) in patients undergoing coronary angioplasty techniques has been reduced to almost zero at six months using these products.
Dana Mead, president of vascular intervention at Guidant, said: "This acquisition of next-generation polymer technology will strengthen Guidant's capabilities in developing advanced biocompatible drug delivery solutions. These 'programmable' polymers may serve as a key technology for our fully bioabsorbable stent programme."
Guidant is developing an everolimus-eluting stent and anticipates a first market launch in 2005.
Under the terms of the agreement, which give Guidant worldwide licensing rights to the technology, privately-held MediVas stands to receive development milestone payments as well as royalties on Guidant's future sales of products using the technology.
Guidant will take a third-quarter charge from acquired in-process R&D that will reduce earnings by 11 cents per share, the company said.