Michael Barbella, Managing Editor09.11.23
Rockwell Medical Inc. has acquired the hemodialysis concentrates business from Evoqua Water Technologies for $11 million up front in cash plus two milestone payments of $2.5 million each at 12 and 24 months from the deal's closing.
Rockwell Medical purchased this business through its cash balance. At closing of the transaction, Rockwell Medical had approximately $15.3 million in cash and cash equivalents.
Under the agreement's terms, Rockwell Medical acquired Evoqua's concentrates business, including all contracts, all intellectual property, all U.S. Food and Drug Administration 510(k) clearances, and all assets primarily associated with, and related to, Evoqua's concentrates business nationwide including liquid and powder bicarbonate and liquid acid.
Evoqua's operations are fully automated and enable Rockwell to manufacture its hemodialysis concentrates products at a lower cost and add significant capacity to its production line. By assuming responsibility for Evoqua’s concentrates customer contracts, Rockwell will further expand its U.S. footprint and assume a larger market share of the growing hemodialysis concentrates market. Additionally, the company will now become a leading supplier of liquid bicarbonate products to U.S. dialysis centers.
"We are excited by this acquisition and believe that the transaction is transformative for our business," Rockwell Medical President/CEO Mark Strobeck, Ph.D., said. "Evoqua's hemodialysis concentrates business is profitable, complementary to Rockwell's business, and immediately accretive to our top and bottom line. Additionally, this transaction enhances Rockwell's presence in the hemodialysis marketplace and offers us technological solutions that will enable us to automate our processes and add significant capacity to our production line. This is the first of many opportunities that we plan to pursue so that we can serve more clinics and in turn, more patients."
Rockwell Medical develops, manufactures, commercializes, and distributes hemodialysis products for dialysis providers worldwide. Hemodialysis is the most common form of end-stage kidney disease treatment and is usually performed at freestanding outpatient dialysis centers, at hospital-based outpatient centers, at skilled nursing facilities, or in a patient’s home. Rockwell Medical is the second largest supplier of acid and bicarbonate concentrates for dialysis patients in the United States and aims to become a leading global hemodialysis concentrates supplier.
Rockwell Medical purchased this business through its cash balance. At closing of the transaction, Rockwell Medical had approximately $15.3 million in cash and cash equivalents.
Under the agreement's terms, Rockwell Medical acquired Evoqua's concentrates business, including all contracts, all intellectual property, all U.S. Food and Drug Administration 510(k) clearances, and all assets primarily associated with, and related to, Evoqua's concentrates business nationwide including liquid and powder bicarbonate and liquid acid.
Evoqua's operations are fully automated and enable Rockwell to manufacture its hemodialysis concentrates products at a lower cost and add significant capacity to its production line. By assuming responsibility for Evoqua’s concentrates customer contracts, Rockwell will further expand its U.S. footprint and assume a larger market share of the growing hemodialysis concentrates market. Additionally, the company will now become a leading supplier of liquid bicarbonate products to U.S. dialysis centers.
"We are excited by this acquisition and believe that the transaction is transformative for our business," Rockwell Medical President/CEO Mark Strobeck, Ph.D., said. "Evoqua's hemodialysis concentrates business is profitable, complementary to Rockwell's business, and immediately accretive to our top and bottom line. Additionally, this transaction enhances Rockwell's presence in the hemodialysis marketplace and offers us technological solutions that will enable us to automate our processes and add significant capacity to our production line. This is the first of many opportunities that we plan to pursue so that we can serve more clinics and in turn, more patients."
Rockwell Medical develops, manufactures, commercializes, and distributes hemodialysis products for dialysis providers worldwide. Hemodialysis is the most common form of end-stage kidney disease treatment and is usually performed at freestanding outpatient dialysis centers, at hospital-based outpatient centers, at skilled nursing facilities, or in a patient’s home. Rockwell Medical is the second largest supplier of acid and bicarbonate concentrates for dialysis patients in the United States and aims to become a leading global hemodialysis concentrates supplier.