LeMaitre to Distribute Aziyo Biologics’ Cardiovascular Patches
Rhea-AI Summary
LeMaitre Vascular (LMAT) has secured an exclusive distribution agreement for Aziyo Biologics' cardiovascular patches in the U.S. for three years, with an option to acquire Aziyo's worldwide cardiovascular patch business during the second and third year. The patches, including ProxiCor®, VasCure®, and Tyke®, utilize an extracellular matrix aimed at reducing inflammation and promoting healthy tissue formation. Aziyo reported $6.8 million in sales from these patches in 2022. LeMaitre anticipates a 50% gross margin from patch sales. President David Roberts expressed enthusiasm about enhancing the company's product offerings for vascular and cardiac surgeons. Further financial implications of this agreement will be detailed in LeMaitre’s Q1 2023 earnings call on May 2, 2023.
Positive
- Exclusive distribution agreement for cardiovascular patches enhances product portfolio.
- Aziyo's U.S. patch sales of $6.8 million in 2022 presents a significant revenue opportunity.
- Expected 50% gross margin on sales of the patches.
Negative
- None.
News Market Reaction – LMAT
In the trading session that priced this news, LMAT gained 3.70%, reflecting a moderate positive market reaction.
Data tracked by StockTitan Argus on the day of publication.
AI-generated analysis. How Rhea-AI works. Not financial advice.
BURLINGTON, Mass., April 20, 2023 (GLOBE NEWSWIRE) -- LeMaitre Vascular, Inc. (Nasdaq: LMAT), a provider of vascular devices, implants and services, announced today it has entered into an agreement with Aziyo Biologics, Inc. (Nasdaq: AZYO) to become the exclusive distributor of Aziyo’s cardiovascular patches in the United States. Under the agreement, LeMaitre will distribute the products for three years and has an option to acquire Aziyo’s worldwide cardiovascular patch business during the second and third year of the term.
The patches are marketed under the brands ProxiCor®, VasCure® and Tyke® and are made of an extracellular matrix designed to decrease inflammation and stimulate the formation of healthy tissue. Aziyo’s 2022 sales of cardiovascular patches in the U.S. were
David Roberts, LeMaitre’s President, commented, “We are pleased to add these next-generation products to our U.S. product offering and to provide our vascular and cardiac surgeons an extracellular option in addition to our range of XenoSure®, CardioCel® and VascuCel® biologic patches.”
Business Outlook
Guidance on how this transaction may affect LeMaitre’s 2023 revenue, operating income and EPS expectations will be provided at the Company’s Q1 2023 earnings call on May 2, 2023.
About LeMaitre
LeMaitre is a provider of devices, implants and services for the treatment of peripheral vascular disease, a condition that affects more than 200 million people worldwide. The Company develops, manufactures and markets disposable and implantable vascular devices to address the needs of its core customer, the vascular surgeon. LeMaitre is a registered trademark of LeMaitre Vascular, Inc. This press release may include other trademarks and trade names of the Company. For more information about the Company, please visit http://www.lemaitre.com.
Contact:
LeMaitre Vascular, Inc.
Sandra Millar
+1-781-425-1686
smillar@lemaitre.com
