Abbott (ticker: ABT, exchange: New York Stock Exchange (.N))
News Release -
Abbott Laboratories Completes Acquisition of Biocompatibles' Cardiovascular Stent Business
ABBOTT PARK, Ill., May 7, 2002 /PRNewswire-FirstCall via COMTEX/ -- Abbott
Laboratories (NYSE: ABT) today announced that it has completed the acquisition
of the cardiovascular stent business of Biocompatibles International plc for
164.7 million pounds sterling (approximately $234.5 million) in cash.
"The acquisition of Biocompatibles' cardiovascular stent business significantly
strengthens Abbott's participation in the worldwide coronary stent market," said
Christopher B. Begley, senior vice president, hospital products, Abbott
Laboratories. "Through this acquisition, we enhanced our international presence
and secured access not only to Biocompatibles' broad range of stents, but also
to its proprietary coating technology, which serves as a differentiating
component of our coronary and drug-coated stent programs."
The acquisition includes the worldwide marketing, manufacturing, development,
distribution and license of intellectual property rights to the BiodivYsio
coronary stent product line and the pipeline of drug-eluting coronary stents,
together with the stent manufacturing plant in Galway, Ireland. The
cardiovascular stent business acquired from Biocompatibles will be integrated
into Abbott's vascular devices franchise.
Through the transaction, Abbott acquired additional commercial infrastructure
and marketing presence in Europe and maintained access to Biocompatibles'
innovative polymer chemistry research and development organization, which will
augment Abbott's drug-coated stent programs.
Abbott's lead drug-coated stent compound is an internally developed rapamycin
analogue, a proprietary anti-proliferative agent that has demonstrated
encouraging results in preclinical studies. Through the acquisition, Abbott also
assumed worldwide commercial rights for all potential drug-coated stent products
in Biocompatibles' pipeline and strengthened its strategic direction over these
To complete the acquisition, Abbott has received the necessary regulatory
clearance in the United States as well as in certain countries outside of the
United States. The acquisition has also been approved by the shareholders of
Abbott anticipates a yet-to-be determined, one-time charge in the second quarter
of 2002 related to this transaction, primarily for in-process research and
development. The transaction has no impact on Abbott's previously announced
earnings-per-share guidance of $2.24 - $2.26 for 2002, excluding the one-time
Abbott's expanding vascular medicine franchise includes both medical devices and
therapeutics and focuses on high growth market segments, including coronary,
peripheral and drug-coated stents, vessel closure, embolic capture and occlusion
catheter technologies. For each of these vascular market segments, a strong
product pipeline is being assembled to build and develop a growth business in
the multibillion-dollar acute care vascular market.
Abbott Laboratories is a global, broad-based health care company devoted to the
discovery, development, manufacture and marketing of pharmaceuticals,
nutritionals, and medical products, including devices and diagnostics. The
company employs approximately 70,000 people and markets its products in more
than 130 countries. In 2001, the company's sales and net earnings were $16.3
billion and $2.9 billion, respectively, with diluted earnings per share of
$1.88, excluding one-time charges.
Abbott's news releases and other information are available on the company's Web
site at www.abbott.com .
Private Securities Litigation Reform Act of 1995 -- A Caution Concerning
Some statements in this news release may be forward-looking statements for
purposes of the Private Securities Litigation Reform Act of 1995. Abbott
cautions that these forward-looking statements are subject to risks and
uncertainties that may cause actual results to differ materially from those
indicated in the forward-looking statements. Economic, competitive,
governmental, technological and other factors that may affect Abbott's
operations are discussed in Exhibit 99.1 of our 2001 Form 10-K and in our
periodic reports on Form 10-Q and Form 8-K, and are incorporated by reference.
Abbott undertakes no obligation to release publicly any revisions to forward-
looking statements as the result of subsequent events or developments.
SOURCE Abbott Laboratories
CONTACT: Media, Stacey Eisen, +1-847-935-2828, or Financial Community,
John Thomas, +1-847-938-2655, both of Abbott Laboratories