HealthTronics’ product portfolio includes lithotripters and surgical lasers for treatment of BPH and stones, and anatomical pathology services. We interviewed HealthTronics’ VP of Business Development, Jeff Howell, in May. His team has been working overtime as of late.
In July, HealthTronics acquired UroPath, a U.S. provider of anatomical pathology laboratory services, for $7.5 million. That deal followed the March acquisition of Advanced Medical Partners, Inc. (AMPI), a transaction that has more in common with the proposed Endocare deal.
AMPI offers urological cryosurgery services in the U.S. AMPI brought with it a network of some 500 physicians and an interest in 30 entities that performed over 7,000 procedures and generated over $24 million in 2007 revenue. With AMPI, HealthTronics is well positioned to leverage Endocare’s technology and assets.
Endocare’s Cryocare TCAP (Targeted CryoAblation of the Prostate) uses controlled freezing to destroy cancerous cells. The procedure is minimally invasive and typically results in a shorter recovery period. It may also result in a lower incidence of incontinence.
The number of domestic cryoablation procedures performed by Endocare grew by more than 20% in 2007. Total revenues in 2007 were $29.7 million, compared to $28.0 million in 2006. In a statement, Endocare said its board of directors will review and consider the proposal.