H.I.G. Capital News
KCI's LifeCell™ Corporation and Novadaq Technologies Enter North American Sales and Marketing Agreement for Exclusive Distribution of SPY® Imaging System
Alliance Enables Broad Distribution of Highly Innovative, Real-Time Perfusion Imaging System Through LifeCell's Leading Commercialization Organization
SAN ANTONIO, TX - September 1, 2010 - LifeCell™ Corporation, a business unit of Kinetic Concepts, Inc. (NYSE: KCI), and Novadaq® Technologies Inc. (TSX: NDQ) announced today the signing of an exclusive sales and marketing agreement for distribution of Novadaq’s SPY® Imaging System in North American surgical markets. LifeCell will drive adoption for the SPY System in breast reconstructive, head and neck, and colorectal surgical specialties, with more than half a million procedures projected annually.
LifeCell will provide market development and commercialization activities, including professional education, clinical support, reimbursement and sales distribution. Novadaq will continue to be responsible for manufacturing, field service and research and development.
The SPY System aids surgeons in assessing poor or inadequate tissue perfusion at the surgical site, which is critical to the success of tissue revascularization and survival. The technology can be used to assess the quality of perfusion in both autologous and biologic tissue reconstructive procedures.
“SPY furthers our vision of helping doctors and patients harness the body’s own regenerative power,” said Lisa Colleran, president, LifeCell, a business unit of KCI. “It’s a brilliant fit, bringing together partners committed to healing through best-in-class technologies.”
Intra-operative fluorescence imaging complements the LifeCell product portfolio, as adequate tissue perfusion is required for tissue regeneration. Physicians currently using AlloDerm™ Regenerative Tissue Matrices and Strattice™ Reconstructive Tissue Matrices also perform autologous procedures that may benefit from the use of SPY Technology.
"For decades, surgeons have sought a real-time and accurate means of assessing tissue perfusion in the OR,” said Glyn E. Jones, M.D., professor of surgery, University of Illinois College of Medicine. “Clinical judgment may be unreliable, and the consequences of poor tissue perfusion in breast reconstruction can be devastating. After using SPY in my practice for two years, I am convinced of its accuracy in determining tissue perfusion and reducing post-reconstruction complications.”
For Novadaq, the relationship provides access to physicians through LifeCell’s sales force, which has existing relationships with the defined surgical specialties.
“LifeCell has a record of advancing new technologies to commercial success and market leadership,” said Dr. Arun Menawat, Novadaq’s chief executive officer and president. “The company’s reputation for innovation and excellence coupled with its significant presence in the operating room in plastic reconstructive and abdominal surgery makes them the perfect partner to market and sell Novadaq’s technology to these important markets.”
Kinetic Concepts, Inc. (NYSE:KCI) is a leading global medical technology company devoted to the discovery, development, manufacture and marketing of innovative, high-technology therapies and products for the wound care, tissue regeneration and therapeutic support system markets. Headquartered in San Antonio, Texas, KCI's success spans more than three decades and can be traced to a history deeply rooted in innovation and a passion for significantly improving the healing and the lives of patients around the world. The company employs approximately 6,800 people and markets its products in 20 countries. For more information about KCI, and how its products are changing the practice of medicine, visit www.KCI1.com.
All trademarks designated herein, including the LifeCell name, are proprietary to KCI Licensing, Inc. its affiliates and/or licensors. The absence of a trademark or service mark or logo from this release does not constitute a waiver of trademark or other intellectual property rights of KCI Licensing, Inc., its affiliates and/or licensors.
About Novadaq Technologies Inc.
Novadaq Technologies develops and markets real-time fluorescence imaging technology products for use in the operating room. The company’s primary core technology platform, SPY Imaging, provides clinically relevant, anatomic and physiologic images during a variety of complex open and minimally invasive surgical (MIS) procedures. SPY empowers surgeons treating life threatening diseases to more effectively treat vascular blockages; assess tissue perfusion; identify cancerous tumors and delineate margins; and visualize relevant lymph nodes for removal. More than 40 peer-reviewed publications demonstrate that SPY imaging leads to fewer post-operative complications and reduced hospital costs. The endoscopic SPY system (a SPY scope) combines all of the capabilities of SPY imaging with state-of- the- art high definition (HD) white light visualization offered by conventional endoscopes. The company’s key markets include plastic reconstructive, abdominal, cardiac and general surgery. To realize the full potential of its technology platform, Novadaq explores technology alliances. Novadaq announced its first alliance with Intuitive Surgical Inc. in January 2009, to integrate SPY imaging into the 3-D HD imaging capabilities of the da Vinci® Surgical Robotic System. In addition, Novadaq is the exclusive North American distributor of PLC Medical’s CO2 HEART LASER System. For more information, please visit the company's website at http://www.novadaq.com.
This press release contains forward-looking statements regarding the estimated market size for procedures eligible for use with the SPY System as well as expectations for product performance. Forward-looking statements may contain words such as believes, expects, anticipates, estimates, projects, intends, should, seeks, future, continue, or the negative of such terms, or other comparable terminology. Forward-looking statements are subject to risks, uncertainties, assumptions and other factors that are difficult to predict and that could cause actual results to vary materially from those expressed in or indicated by them. In particular, the parties’ ability to recognize increased revenue and profitability from the SPY System is subject to all the risks associated with the commercialization of new products based on innovative technologies, including unanticipated technical problems, manufacturing difficulties, results of future clinical tests, gaining customer acceptance, regulatory developments and other factors beyond the parties’ control. KCI does not undertake any obligation to revise or update any forward-looking statement, or to make any other forward-looking statements, whether as a result of new information, future events or otherwise. Additional risks and factors are identified in KCI's filings with the U.S. Securities Exchange Commission (the SEC), including its Annual Report on Form 10-K for the fiscal year ending December 31, 2009, and Quarterly Reports on Form 10-Q for the quarters ended March 30, 2010 and June 30, 2010, which are available on the SEC's Web site at