Volcano Corp Announces Agreement To Acquire Crux Biomedical

Volcano Corp announced that it has signed an agreement to acquire Crux Biomedical, a privately-held company that has developed a differentiated inferior vena cava (IVC) filter-the Crux VCF System-to treat pulmonary embolisms (PE's). Under terms of the agreement, Volcano will pay $36.0 million in cash at closing, which is expected to occur within in the second week of December 2012. Under terms of the agreement, Volcano will pay $36.0 million in cash at closing. Volcano will also pay up to approximately $3.1 million in Crux transaction expenses. The merger agreement also provides for a potential post-closing cash milestone payment of $3.0 million upon FDA clearance of a 510(k) application submitted by Volcano on or before June 30, 2013, for a retrieval device currently being developed by Crux. In addition, Volcano may make additional cash payments for up to four years, based on sales of Crux products following their commercial launch.