RoundTable Healthcare Partners and Argon Medical Devices Complete Acquisition of Angiotech Pharmaceuticals’ Interverntional Products Business
LAKE FOREST, IL, APRIL 15, 2013 — RoundTable Healthcare Partners (“RoundTable”), an operating-oriented private equity firm focused exclusively on the healthcare industry, announced today that its portfolio company, Argon Medical Devices, Inc. (“Argon” or the “Company”), has completed the previously announced acquisition of the Interventional Products Business of Angiotech Pharmaceuticals, Inc. (“Angiotech”). The Interventional Products Business manufactures and markets disposable and re-usable biopsy products for the diagnosis of cancer, drainage catheter products, and vascular interventional products.
The acquisition of the Interventional Products Business bolsters Argon’s existing portfolio of interventional vascular products, adds additional biopsy product lines, and further leverages the Company’s sales force within core call points. As part of the transaction, Argon will also acquire three dedicated manufacturing facilities in Wheeling, IL; Gainesville, FL; and Rochester, NY. Argon currently manufactures its products in facilities in Athens, TX and Singapore.
“The acquisition of the Interventional Products Business is another step forward in expanding our portfolio to offer our customers a greater array of physician preference products,” said Michael Hudson, CEO of Argon. “We are delighted to be reunited with this business and look forward to positioning the combined company for significant growth.”
The Interventional Products Business was created by RoundTable in 2003 as part of its American Medical Instruments Holdings, Inc. (“AMIH”) investment. The AMIH business was run by Argon’s current management team including: Michael Hudson, Argon’s CEO; Richard Adloff, Argon’s CFO; and George Leondis, Argon’s President. AMIH combined the formerly independent Manan Medical, MD Tech, PBN Medical, and American Medical Instruments into a consolidated operating unit. Angiotech acquired the Interventional Products Business from RoundTable in 2006 as a part of its purchase of AMIH.
“We are extremely excited to have closed this transaction and to invest in this business again,” said Joseph Damico, Founding Partner and Co-Chairman of RoundTable. “We look forward to working closely with Argon and its employees to integrate these two complementary businesses.”
As part of the transaction, RoundTable facilitated the successful completion of new senior credit facilities and a private placement of subordinated notes. GE Capital Markets and Ares Capital Corporation served as joint lead arrangers and joint bookrunners for the new senior credit facility provided by the Senior Secured Loan Program. In addition, GE Capital, Healthcare Financial Services provided a senior secured revolving credit facility in support of the transaction. Argon’s subordinated notes were acquired by RoundTable Healthcare Capital Partners II (“Capital Fund II”), RoundTable’s second captive subordinated debt fund. Capital Fund II is a dedicated subordinated debt fund that makes fixed rate subordinated debt investments alongside the equity investments of RoundTable’s equity funds. RoundTable and certain other investors made an equity investment in Argon as part of the transaction.
About RoundTable Healthcare Partners
RoundTable Healthcare Partners, based in Lake Forest, IL, is an operating-oriented private equity firm focused exclusively on the healthcare industry. RoundTable partners with companies that can benefit from its extensive industry relationships and proven operating and transaction expertise. RoundTable has established a successful track record of working with owner/founders, family companies, management teams, entrepreneurs and corporate partners who share a vision and believe in the value creation potential of its partnership model. RoundTable currently manages $1.9 billion in capital, including three equity funds totaling $1.5 billion and two subordinated debt funds totaling $400 million. More information about RoundTable Healthcare Partners can be found atwww.roundtablehp.com.
About Argon Medical Devices
Founded in 1972, Argon is a global manufacturer of specialty medical products headquartered in Plano, Texas. Argon offers a broad line of medical devices for Interventional Radiology, Vascular Surgery, Interventional Cardiology, and Critical Care procedures. Current products include the Option™ Retrievable Inferior Vena Cava Filter, Cleaner Rotational Thrombectomy System, and UltraStream™ Chronic Dialysis Catheter. Argon also offers a complete line of PICC and midline catheters, endomyocardial biopsy forceps, introducer sheaths, pressure transducers, and other vascular products. The Company’s products are sold globally through a combination of direct sales representatives and premier specialty distributors. For more information on Argon, please visitwww.argonmedical.com.