Vascular Solutions Acquires Vein Access Technologies

Vascular Solutions Inc. has purchased a pair of vein-access technologies used in ultrasound procedures.

The Minneapolis, Minn.-based company paid $5.75 million to Escalon Medical Corp. for the products. Vascular Solutions officials said they expect the additions to immediately turn a profit for the company. As a result, they raised second-quarter net revenue guidance by $500,000 and Vascular’s full-year sales guidance by $2 million.

The products—Smartneedle and pdACCESS—were owned by Escalon, a Wayne, Pa.-based company that develops, markets and distributes ophthalmic, diagnostic surgical and pharmaceutical products, as well as vascular access devices.The acquired technologies consist of a handheld monitor and one-time-use access needles designed to provide ultrasound-guided access to arteries and veins during catheterization procedures, according to a news release. Sales of both products currently generate about $3.8 million for the company.

Ultrasound procedures use high-frequency sound waves to examine organs and structures inside the body.

Vascular Solutions’ sales team will immediately start selling the acquired products. Manufacturing of the devices will transition to Vascular Solutions over the next four months.

“The Smartneedle and pdACCESS products have excellent clinical track records and serve an important niche in percutaneous procedures,” said Howard Root, Vascular Solutions CEO. “The products fit nicely into our existing product portfolio. We are pleased to add these products into our sales bag as well as to evaluate the potential future applications of the VascuView TAPultrasound technology within interventional procedures.”

The deal prompted Vascular Solutions to boost its full-year sales guidance to between $78 million and $80 million. The company raised its net income guidance by two cents a share, to between 55 cents and 59 cents per diluted share.

Late last month, Vascular Solutions reported its first-quarter financial results. Sales jumped 15 percent to $18 million, while earnings came in at $1.2 million, excluding special items. Root attributed the sales growth in part to the better-than-expected performance of the company’s GuideLiner catheter, which won federeal regulatory approval in November 2009.