CENTER VALLEY, Pa. and TOKYO, Dec. 4, 2020 /PRNewswire/ -- Olympus Corporation today announced that it has entered into an agreement to acquire Veran Medical Technologies, Inc. (VMT), a leading provider of advanced medical devices specializing in interventional pulmonology, for up to USD 340 million. The acquisition will be implemented through Olympus subsidiary Olympus Corporation of the Americas (OCA) and will be the latest in a series of strategic acquisitions designed to strengthen Olympus' position as a leading global medical device company.
As part of Olympus' Corporate Strategy, unveiled in November 2019, the company vowed to "focus and scale" its therapeutic solutions division. To accelerate the process and provide greater agility, Olympus made OCA the company's therapeutic division headquarters, recognizing the significant growth opportunities in North America. The company also identified three core medical fields to prioritize: gastroenterological endotherapy devices, urological devices, and respiratory devices. The VMT acquisition is centered on respiratory devices and will position Olympus as a leader in this field.
According to Nacho Abia, global chief operating officer and CEO of OCA, the VMT acquisition will strategically position Olympus and boost development in other areas. "We are very excited about acquiring VMT because its portfolio of devices will complement our product portfolio and further strengthen our position in respiratory medical devices," he said. "The most significant part of this deal is that we will secure immediate access to VMT's unique Electromagnetic Navigation system with proprietary devices to build a stronger future respiratory product portfolio."
Already a leader in bronchoscopy systems, Olympus' endoscope technologies will combine perfectly with VMT's navigation products to develop solutions for improved diagnosis of peripheral lung cancer.
Lung cancer affects the highest number of cancer patients and is the leading cause of cancer-related deaths globally.1 With increased awareness and more lung cancer screenings done by low-dose CT (computed tomography), the need for definitive diagnosis of lesions in the peripheral regions of the lungs by tissue biopsy is expected to increase. Combined with Olympus' technology, VMT's navigational platform and proprietary devices support this need.
"We are proud to be joining forces with Olympus, a company with a 100-year legacy and a global reputation for quality, leadership and innovation," said Jason Pesterfield, CEO of VMT. "Olympus has a clear strategy to become a global medtech leader, and we're excited to contribute our unique capabilities and become part of this journey."
This acquisition will provide immediate incremental revenue and an experienced sales team within the US market. VMT's advanced and proven navigation technology, together with Olympus' respiratory leadership, strengthens and enhances Olympus' global position. For details, please refer to our corporate disclosure, "Notice regarding acquisition of Veran Medical Technologies, Inc in the United States" (available at: https://www.olympus-global.com/news/ir/2020/).
About Veran Medical Technologies, Inc.
VMT is a privately held medical device company headquartered in St. Louis, MO. The company's mission is to empower physicians to diagnose cancer earlier and to enable precision therapy to save lives. In the United States, lung cancer kills more people each year than breast, prostate, and colon cancers combined.
VMT has developed and commercialized a next-generation electromagnetic thoracic navigation platform called the SPiN Thoracic Navigation System®. This breakthrough technology has been adopted by leading cancer centers throughout the United States. VMT also provides physicians with a full line of bronchoscopic brushes, needles, forceps and steerable catheters with tiny electromagnetic sensors embedded in the tips for precise navigation. The combination of these proprietary Always-On Tip Tracked® instruments and VMT's exclusive patient respiratory gating technology enables physicians to accurately access lung nodules by accounting for nodule movement during patient breathing, a common challenge for lung specialists. The SPiN Thoracic Navigation System® is the first and only technology that enables Pulmonologists or Thoracic Surgeons to accurately access lung nodules outside of an airway using SPiN Perc®, a navigated transthoracic needle. With SPiN Perc®, VMT combines endobronchial navigation with percutaneous navigation, allowing physicians to access all lung nodules in a single procedure, regardless of nodule size or location. This eliminates the cost and risk of unnecessary procedures and empowers physicians to provide a same day diagnosis for their patients.
About Olympus' Therapeutic Solutions Division
In its Therapeutic Solutions business, Olympus uses innovative capabilities in medical technology, therapeutic intervention, and precision manufacturing to help healthcare professionals deliver diagnostic, therapeutic, and minimally invasive procedures to improve clinical outcomes, reduce overall costs, and enhance the quality of life for patients. Starting with its early contributions to the development of the polypectomy snare, Olympus' Therapeutic Solutions portfolio has grown to include an array of surgical energy devices and a wide range of instruments to help prevent, detect, and treat disease. For more information, visit www.olympus-global.com.
SOURCE Olympus Corporation