PLC Systems Signs TMR Asset Sale Agreement with Novadaq
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FRANKLIN, Mass., Nov. 8, 2010 -- PLC Systems Inc. (OTC Bulletin Board: PLCSF), a company focused on innovative medical device-based technologies, today announced that it had signed a definitive agreement to sell all of its Transmyocardial Revascularization (TMR) assets toNovadaq Technologies Inc. (TSX: NDQ), a developer of real-time imaging systems for use in the operating room. Novadaq has been the exclusive United States distributor of PLC's CO2 Heart Laser Systems and related kits for TMR since March 2007.
Under terms of the agreement, Novadaq will acquire all of PLC's assets in the TMR business including manufacturing rights, product inventories, equipment, intellectual property, regulatory approvals, clinical data and all documentation related to TMR, for a purchase price of $1 million U.S. in cash, and the assumption of PLC's obligations under service contracts valued at approximately $700,000.
Completion of the acquisition is subject to the approval of PLC's shareholders at a special meeting of shareholders and is expected to close within 90 days.
Mark R. Tauscher, president and chief executive officer of PLC Systems Inc., stated, "We are very pleased to reach a positive agreement with Novadaq to purchase our TMR business. While this business is part of the foundation of PLC, its disposition enables PLC to focus entirely on our RenalGuard System(TM) operations. In addition, the critical cash injection that this sale will provide us should enable us to continue to work on raising the additional funding we need to continue with our RenalGuard business. RenalGuard represents the future of PLC and we look forward to building upon the positive scientific data that were recently shared at the important TCT conference in late September. At the same time, we're confident that TMR customers will see no disruption in service since they are already working with Novadaq in many cases."
About PLC Systems Inc.
PLC Systems Inc. is a medical technology company specializing in innovative technologies for the cardiac and vascular markets. Headquartered in Franklin, Massachusetts, PLC pioneered the CO2 Heart Laser System, which cardiac surgeons use to perform CO2 transmyocardial revascularization (TMR) to alleviate symptoms of severe angina. PLC's newest product, RenalGuard, is approved for sale in the EU as a general fluid balancing device. Additional company information can be found at www.plcmed.com.
SOURCE PLC Systems Inc.
CONTACT:
Mary T. Conway,
Conway Communications,
+1-617-244-9682,
marytconway@comcast.net
Web Site: www.plcmed.com
