American Medical Systems' Make Over
The sale of American Medical Systems to private equity investor Warburg Pincus started the company on a new path. Long successful in male-focused markets like erectile dysfunction, part of the new direction for AMS entailed a new management team and a reinvigorated product development effort. But in AMS's case, the development effort was focused not on the company's core business, but in a related area, products to treat female uro-genital problems. Though similar in some respects, the urology and gynecology markets are more notable for their striking differences. AMS's male-oriented lines are market development-driven, aimed at educating and attracting customers among men reluctant to seek care; gynecology is more about product development, getting new therapies into the hands of patients eager to use them.
You may also be interested in...
Brief summaries of recent medtech market and industry developments. This month we cover a new GAO report that ups the pressure on the medical imaging market; Cordis Corp.'s suspension of its PFO closure device program; Atritech's PMA for stroke prevention; Zimmer's acquisition of Abbott Spine; and the US market for contraception devices and procedures.
A business development panel representing the emerging group of mid-sized device dealmakers that are actively looking for innovative technology from small companies discusses the current state of medtech dealmaking.
Bausch & Lomb was slogging forward after a difficult year-the company had been embroiled in a lengthy accounting investigation involving some of its foreign subsidiaries since the end of 2005 and in early 2006 it was compelled to recall its most profitable product-. In mid-May 2007 Bausch & Lomb was wrestling with a 3% decrease in annual sales, 344 product liability lawsuits, and an overhanging intellectual property case that could affect its fastest growing contact lens line, when up galloped white knight private equity firm Warburg Pincus, with a $4.5 billion offer to take the ophthalmic company private.