Plymouth-based Urotronic to Sell for $255M
Plymouth-based med-tech company Urotronic Inc. is slated to trade hands in a $255 million deal.
Last week, New Hampshire-based Laborie Medical Technologies Inc. announced it has inked a deal to purchase Urotronic for a starting price of about $255 million. If Urotronic hits certain financial milestones, the Minnesota company is entitled to an additional payment of up to $345 million, according to a news release issued Sept. 6.
Laborie has had its eye on Urotronic for a few years now. Back in October 2020, Laborie provided $15 million for Urotronic’s Series C funding round. At the time, Laborie officials noted that they were considering an option to acquire Urotronic.
Urotronic has developed a drug-coated balloon technology known as Optilume designed to treat patients with obstructive urinary symptoms. In late 2021, the FDA gave Urotronic permission to begin marketing and selling the device for treatment of urethral strictures. Then, this summer, the FDA approved the Optilume catheter device for treating benign prostatic hyperplasia.
“There has never been a minimally invasive, combination drug-device therapy like Optilume before, leading to a highly disruptive, paradigm change for physicians treating urethral strictures and [benign prostatic hyperplasia],” said Laborie president and CEO Mike Frazzette in the news release.
The Sept. 6 release noted that Laborie is making a separate $5 million equity investment in GIE Medical, a spin-off of Urotronic that’s developing drug-coated balloon tech for treating gastrointestinal injuries.
Minneapolis-based Piper Sandler served as the financial adviser for Urotronic.
