Haemonetics Expands in the Blood Management Sector

Braintree, Mass.-based Haemonetics Corp. has inked deals with companies that will significantly expand the company’s blood management business.

The company will acquire Hemerus Medical LLC, a St. Paul, Minn.-based developer of technologies for the collection of whole blood, and processing and storage of blood components. Currently, Hemerus has completed Phase 3 clinical trials and is waiting for U.S. Food and Drug Administration (FDA) approval of its new whole blood collection system, Solx.

Under terms of the agreement, Haemonetics will pay up to $27 million in several stages, each of which is contingent upon successful regulatory approvals of Solx. Additionally, Haemonetics has agreed to pay a royalty on future sales of Solx-based products. The acquisition is expected to close during the second quarter of fiscal 2013.


Invented by John Hess, M.D., of the University of Maryland, and the late Tibor Greenwalt, M.D., formerly of the University of Cincinnati, Solx was developed partially with U.S. Army funding. The system is unique, and is intended to extend the quality and effective life span of red blood cells in storage. FDA approval is expected by the end of the year.

Haemonetics has been executing a planned entry into the whole blood collection market, according to president and CEO Brian Concannon.

“Delivery of a superior blood storage solution offers both medical and economic benefits to our blood center and hospital customers and is important to our leadership position in blood management,” he said.

Haemonetics’ currently offers automated blood collection and separation technologies for the red blood cell collection process. However, manual whole blood collections are becoming increasingly ubiquitous, accounting for more than 90 percent of red cell collection procedures performed annually worldwide. Hemerus’ capabilities are expected to enable Haemonetics to accelerate its entry into the whole blood collection market with differentiated offerings.

Haemonetics is taking whole blood very seriously. Concurrently with this acquisition, the company also announced it is buying Pall Corporation’s blood collection, filtration and processing product lines for $551 million. Under terms of the agreement, $536 million of the purchase price will be paid upon closing. Haemonetics intends to finance this with $475 million of new borrowings under term loans plus $61 million existing cash on hand. The remaining $15 million will be payable upon Pall Corporation’s replication and delivery of certain manufacturing assets of the filter media business to Haemonetics by 2016. Until that time, Pall will manage these media assets under a supply agreement.

“Pall’s advanced technologies in the area of transfusion medicine align perfectly with Haemonetics’ vision and strategy. This transaction will combine the diverse resources of two industry pioneers and immediately extend Haemonetics’ already comprehensive array of blood management solutions,” said Larry Kingsley, president and CEO of Pall Corporation. “At the same time, it will enable Pall to focus on markets and opportunities where we are best positioned for growth.”

Haemonetics is a blood management company, providing technologies in the blood and plasma component collection, the surgical suite, and hospital transfusion services segments.