Case Western Reserve University's spinoff Arteriocyte Inc. is joining forces with Medtronic of Minneapolis to acquire and exclusively distribute a drug delivery system with the potential to accelerate wound healing and reduce infection following surgery.
Arteriocyte, through its new medical device company Arteriocyte Medical Systems Inc., has formed a strategic partnership with Medtronic, beginning with the immediate acquisition of the Magellan Platelet Gel Business. Arteriocyte Inc.—a partner of the National Center for Regenerative Medicine—recently teamed with the private equity firm DW Healthcare Partners of Salt Lake City to create Arteriocyte Medical Systems Inc.
As part of the partnership with Medtronic, Arteriocyte Medical Systems Inc. has signed an exclusive distribution agreement for Medtronic to continue to promote the Magellan gel technology into cardiac surgery. The agreement also provides for Medtronic to continue to manufacture the product for Arteriocyte Medical Systems Inc.
"We are pleased to partner with Arteriocyte Medical Systems," said Scott Ward, president of Medtronic's CardioVascular business. "We believe the Magellan technology has the potential to benefit thousands of patients."
The Magellan gel technology, created by Medtronic, is a one-source biologic concentrator and delivery system consisting of a microprocessor-controlled centrifuge and syringe pumps. The system collects and concentrates platelets and white blood cells from a small volume of a patient's own blood, providing a readily accessible supply of plasma that serves as a foundation for autologous platelet gel.
The Magellan system has the potential to accelerate wound healing and reduce infection in cardiac surgery, plastic and reconstructive surgery, orthopedics and vascular surgery. It is expected to serve as the ideal delivery system for Arteriocyte's chord blood-derived technology.
"It's been exciting to watch the amazing progress Arteriocyte has made in such a short time," said John M. Griffin, technology division director of the Ohio Department of Development. "Supported by the clinical expertise of its founders and University Hospitals Case Medical Center, Arteriocyte was able to become a clinical-stage company within two years of its founding. Now it has a profitable product line and customer base that it can bridge its proprietary cellular technology toward."
Don Brown, Chief Executive Officer for Arteriocyte Medical Systems echoed similar sentiments.
"The acquisition positions our company to capitalize on the convergence of medical device and biologic delivery for patients, further differentiating our cellular therapy strategy," Brown said.
Arteriocyte Medical Systems was created in 2007, by DW Healthcare Partners and Arteriocyte, to acquire and develop novel medical devices and point of care surgical solutions to improve patient outcomes. The company will invest in market leading products that have significant growth potential beyond their current use. The Magellan System is Arteriocyte Medicals' first acquisition.
Medtronic is the global leader in medical technology—alleviating pain, restoring health, and extending life for millions of people around the world. Medtronic develops and manufactures a wide range of products and therapies with emphasis on providing a complete continuum of care to diagnose, prevent and monitor chronic conditions.
About Arteriocyte, Inc.
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