Brookhaven Medical Agrees to Buy Wound Management Technologies

Brookhaven Medical Inc., an Atlanta, Ga.-based medical device company that focuses on dialysis devices and advanced wound care, has agreed to acquire Wound Management Technologies Inc. of Fort Worth, Texas, an emerging company focused on the worldwide advanced wound care market.

The board of directors of both companies has approved the letter of intent, which outlines the primary terms of the merger of Wound Management into Brookhaven. The transaction is expected to close in the first half of 2014.

The value of the deal was not disclosed.

“I am pleased to enter this agreement with Wound Management,” said John Feltman, chairman and CEO of Brookhaven. “Wound Management is an ideal match for Brookhaven’s synergistic approach to building our leading medical technology and products, and I believe it will be an integral part of our success in ushering Brookhaven into the advanced wound care industry.”

In July this year, Brookhaven completed a strategic investment in CreatiVasc Medical Inc., a Greenville, S.C.-based company that is developing a hemoaccess valve system for dialysis grafts. CreatiVasc is one of only three companies recently selected by the U.S. Food and Drug Administration for inclusion in its Innovation Pathway Program Innovation Challenge for end-stage renal disease.

“I believe that Brookhaven can achieve rapid growth and significant market share,” Feltmans continued. “The global market segments we serve represent a market opportunity in excess of $50 billion. It is our firm belief that Wound Management and our other planned acquisitions help position Brookhaven to capture a significant share of product sales in those targeted market segments.”

“By merging with Brookhaven, Wound Management will be better able to implement our strategic plan and should also be welcome news to our shareholders in maximizing their return on investment as we become part of Brookhaven,” said Robert Lutz, Jr., chairman and CEO of Wound Management. “By working with Brookhaven, we have the best opportunity for our CellerateRX wound care and surgical products to achieve substantial growth and to expeditiously take our emerging resorbable bone wax technology to market.”

Wound Management recently entered into a three-year marketing and distribution agreement for wound care collagen gel CellerateRX with WellDyne Inc., a health services company.