Inari Medical Completes $415M Acquisition of LimFlow to Expand Peripheral Vascular Portfolio

Nov 20, 2023 00:05 CST Updated 00:05

Inari Medical

Cardiovascular Disease Treatment Device Developer

LimFlow

Medical Device Developer

Source: Siyu MedTech; Editor:Liu Xinyi

Reprint Requirements: Please indicate the source of the article at the beginning of the text, and it can be reprinted directly.

On November 15, 2023, Inari Medical (NASDAQ: NARI), which focuses on developing treatments for chronic venous disorders, announced the completion of its acquisition of LimFlow, a company that develops peripheral endovascular technologies for patients with end-stage chronic limb ischemia.

# Acquisition Review

On November 2, 2023, Inari Medical announced that it had reached a definitive agreement to acquireUp to $415 million (approximately 2.993 billion RMB)Inari Medical to Acquire LimFlow. Inari Medical plans to pay $250 million in cash upfront upon the completion of the transaction. If LimFlow achieves certain performance targets and sales milestones, Inari Medical will also make additional payments, up to $165 million, between 2025 and 2027. The company further stated that the initial cash payment for the acquisition will come from its existing cash flow.

Before this acquisition,September 11, 2023, LimFlow for the treatment of chronic limb-threatening ischemia (CLTI)LimFlow™ System Receives FDA Approval, used to help patients who have no other suitable endovascular or surgical treatment options and are facing large-scale amputation.

Inari's CEO Drew Hykes stated, "The acquisition of LimFlow allows us to integrate the LimFlow™ System technology, bringing new hope to CLTI patients while enabling differentiated growth for our company’s product portfolio."

Drew Hykes

# About Chronic Limb-Threatening Ischemia (CLTI)

Chronic Limb-Threatening Ischemia (CLTI) is the most severePeripheral Artery Disease (PAD), which often occurs in patients with coronary artery disease, diabetes, obesity, high cholesterol, and/or hypertension.Patients with CLTI often experience severe chronic pain and develop wounds or infections that lead to major amputations, and are also closely associated with increased mortality and decreased quality of life.To alleviate the symptoms of CLTI, patients currently mainly undergo angioplasty or open bypass surgery.However, for many advanced patients, both options are not feasible due to extensive disease in the target artery or other anatomical limitations.With the emergence of the new therapy using the LimFlow™ System, there is hope to change this situation and help CLTI patients avoid amputation.

# About LimFlow™ System

The LimFlow™ system, used for performing minimally invasive surgery, is the first and currently the only device approved by the FDA for transvenous arterialization of deep veins (TADV) technology. It was previously granted Breakthrough Device Designation by the FDA. Additionally, the LimFlow™ system has also received CE certification in Europe.

This system aims to deliver blood and oxygen to ischemic and hypoxic tissues in the foot by connecting the arteries of the lower leg with veins near the foot. The abundant oxygen in the tissues can immediately relieve pain and promote the healing of chronic wounds in most patients. This provides an alternative treatment option for patients who may require amputation but are not suitable for surgical bypass procedures.

The components of the LimFlow™ system include an intraluminal ultrasound catheter (arterial, venous) kit and ultrasound monitoring system; venous valve cutter;配套 self-expanding covered stents (including tapered covered stents and straight covered stents), with the stents made of metal (nickel nitride) and the covering film material being polymer.

The usage process of the LimFlow™ system is as follows:

Insert Catheter:The doctor inserts an arterial catheter and a venous catheter through the patient's lower limb vessels until they are adjacent.

Creating an opening:Once the two catheters are adjacent, the doctor uses a needle on the arterial catheter to create an opening between the artery and the adjacent vein.

Insertion of Guidewire and Balloon Dilator:Insert a guidewire between the artery and the adjacent vein, then use this guidewire to insert an expansion balloon. The doctor then inflates the balloon to enlarge the opening left by the needle.

Using a valvulotome to remove venous valves:Using a valvulotome to remove the valves within the veins, which are inherent structures of all veins and must be excised to allow blood flow towards the foot.

Insert Stent:Insert the stent mounted on the delivery catheter into the blood vessel, allowing the stent to pass through the opening. Additional stents may sometimes be required to create a channel from the artery to the vein. The presence of the stent allows blood to flow from the artery into the vein, restoring blood flow to the foot.

# About Inari Medical

Inari Medical, founded in the United States in 2011, is a medical device company focused on developing products for treating patients with chronic venous diseases. The company's products include the FlowTriever® System (used for thrombus removal), ClotTriever® System (comprehensive treatment of stubborn thrombi), Protrieve™ Sheath (simplifying complex thrombectomy procedures), InThrill™ System (specifically designed for small vein thrombectomy without the use of thrombolytic drugs), RevCore™ Thrombectomy Catheter (the first device for mechanically removing acute or chronic thrombi within stents), FlowStasis™ (for rapid hemostasis after percutaneous venous intervention), and FlowSaver™ Blood Return System (blood return system).

The company's revenue in the third quarter of 2023 was $126.4 million, representing a 31.4% increase compared to $96.2 million in the third quarter of 2022. The net income for the third quarter was $3.2 million, while the company reported a net loss of $10.2 million in the same period last year, indicating a significant improvement in the company’s financial condition. At the end of the third quarter, the company had cash and investments totaling $351.3 million.

# About LimFlow SA

LimFlow SA is a medical technology company headquartered in France, focusing on developing and promoting innovative technologies for the treatment of chronic limb-threatening ischemia (CLTI). The company's core product is an interventional device named the "LimFlow™ System."

LimFlow SA is committed to advancing the development and application of the LimFlow™ System through clinical research and partnerships. The company collaborates with medical institutions worldwide to conduct clinical trials assessing the safety and efficacy of the technology. It also partners with other medical device companies to drive innovation in the field of chronic limb-threatening ischemia.