AngioDynamics Offers to Purchase Certain Diomed Assets in the United States and United...

AngioDynamics Offers to Purchase Certain Diomed Assets in the United States and United Kingdom

Offers Subject to Auction Process and Approval of Diomed's
Bankruptcy Court; Purchases Would Strengthen AngioDynamics' Position
in the Varicose Vein Treatment Market
QUEENSBURY, N.Y.--(Business Wire)--
AngioDynamics (NASDAQ: ANGO), a leading provider of innovative
medical devices used by interventional radiologists, nephrologists and
surgeons for the minimally invasive treatment of cancer and peripheral
vascular disease, today announced that it has entered into asset
purchase agreements with Diomed Holdings, Inc., Diomed, Inc. and
Diomed Limited for the acquisition of certain assets of Diomed's
business in the United States and United Kingdom. The agreement with
Diomed Holdings, Inc. and Diomed, Inc. is subject to an auction
process administered by the bankruptcy court, as a result of Diomed's
Chapter 11 bankruptcy proceedings, which commenced on March 14, 2008,
and other customary closing conditions.

AngioDynamics has agreed to pay $8 million in cash for the assets
of Diomed's U.S. business engaged in the sale of systems for the
endovenous laser treatment of varicose veins. In addition,
AngioDynamics has agreed to pay $3 million in cash for the assets of
Diomed's U.K. business based in Cambridge, England. Diomed's U.K.
operations manufacture and distribute systems used in the endovenous
laser treatment of varicose veins and was placed under the control of
a U.K. Insolvency Administrator on March 14, 2008. The offer to
purchase Diomed's U.S. assets is conditioned upon AngioDynamics'
purchase of Diomed's U.K. assets. The offer to purchase Diomed's U.K.
assets is conditioned upon the entry of an order in the U.S.
bankruptcy court authorizing the purchase of the U.S. assets.

The agreements do not provide for the acquisition of any interest
in Diomed's legal judgment award against Vascular Solutions, and
AngioDynamics is not assuming any potential liability with respect to
Diomed's litigation with VNUS.

Under the Agreement with Diomed Holdings and Diomed Inc.,
AngioDynamics may provide up to $1.3 million in debtor-in-possession
financing that will be secured by a perfected first priority lien on
all of Diomed's assets in the United States and will be repayable
together with interest on the earlier of the closing of the
contemplated asset purchase, the closing of an alternative
transaction, or May 30, 2008.

In the 12 month period ending September 30, 2007, Diomed had
worldwide sales of $25.4 million. Diomed has advised AngioDynamics
that, other than the fact of its March 14, 2007 bankruptcy filings, it
has been operating in the ordinary course of business as a
debtor-in-possession while it has pursued the sale of its business.

"If we are successful with our offers, we will strengthen our
presence in the growing market to treat varicose veins as well as
expand our sales organization in both the United States and overseas,"
said Eamonn Hobbs, President and CEO of AngioDynamics. "Our plan is to
incorporate the Diomed sales team in both the United States and in
Europe into the AngioDynamics organization and to offer employment to
many of the other Diomed employees."

About AngioDynamics

AngioDynamics, Inc. is a leading provider of innovative medical
devices used by interventional radiologists, surgeons, and other
physicians for the minimally invasive treatment of cancer and
peripheral vascular disease. The Company's diverse product line
includes market-leading radiofrequency ablation systems, vascular
access products, angiographic products and accessories, dialysis
products, angioplasty products, drainage products, thrombolytic
products, embolization products and venous products. More information
is available at www.angiodynamics.com.

Safe Harbor

The statements made in this document include forward-looking
statements intended to qualify for the safe harbor from liability
established by the Private Securities Litigation Reform Act of 1995.
Words such as "expects," "reaffirms" "intends," "anticipates,"
"plans," "believes," "seeks," "estimates," or variations of such words
and similar expressions, are intended to identify such forward-looking
statements. Investors are cautioned that actual events or results may
differ from the Company's expectations. In addition to the matters
described above, the ability of the Company to consummate the purchase
of the Diomed businesses described above, the ability of the Company
to develop its products, future actions by the FDA or other regulatory
agencies, results of pending or future clinical trials, overall
economic conditions, general market conditions, market acceptance,
foreign currency exchange rate fluctuations, the effects on pricing
from group purchasing organizations and competition, as well as the
risk factors listed from time to time in the SEC filings of
AngioDynamics, Inc., including but not limited to its Annual Report on
Form 10-K for the year ended June 2, 2007, may affect the actual
results achieved by the Company. The Company does not assume any
obligation to publicly update or revise any forward-looking statements
for any reason.

AngioDynamics, Inc.
D. Joseph Gersuk, CFO, 800-772-6446 ext. 1608
jgersuk@AngioDynamics.com
or
EVC Group, Inc.
Donald Takaya, 415-896-6820 (Investor Relations)
dtakaya@evcgroup.com
Doug Sherk, 415-896-6820 (Investor Relations)
dsherk@evcgroup.com
Chris Gale, 646-201-5431 (Media)
cgale@evcgroup.com

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