Urologic oncology company Imagin Medical has announced the purchase of the enCAGE Coil Precision Ablation System from Belgian company Trod Medical in a deal valued at $2.5m.
A disposable focal therapy precision ablation device, enCAGE Coil has been developed for treating prostate cancer.
During a minimally invasive office-based procedure, the device provides bipolar radiofrequency energy through a distinctive coil electrode.
The surgeon can pre-set the precise ablation margins to only target cancer tissue when using the device.
The enCAGE Coil Precision Ablation System has been designed to address the limitations of other thermal ablation technologies developed for prostate cancer.
These technologies risk damaging adjacent structures, such as the erectile nerves that control urinary and sexual function.
The enCAGE Coil has received 510(k) clearance from the US Food and Drug Administration (FDA) and has been used to treat 51 patients, including 20 participants in a Phase II trial.
Through the acquisition of enCAGE Coil, Imagin is expanding its portfolio of products designed to address prostate cancer.
Imagin is also expected to strengthen its position as a urologic oncology company.
Imagin Board chairman Dr Kevin Slawin said: “Our growing focus on bringing best-in-class technologies to patients in an outpatient setting is the culmination of my thoughts over my career as a leader in the field of Urologic Oncology on how to best care for these patients.”
Additionally, the company opened a new $7.25m Convertible Note to fund the acquisition and development of enCAGE Coil.
Under the deal terms, Imagin will make an initial payment of $350,000, as well as $150,000 in shares on closing.
A payment of $500,000 will be made after receipt of FDA 510(k) approval for the next trial phase or modification of the device.
Upon receipt of FDA de novo approval, the company will pay another $m through cash or shares.
Imagin will pay $250,000 upon achieving 1,000 sales of Benign Prostate Hyperplasia (BPH) cases after 510(k) approval is received and $250,000 upon achieving 500 BPH sales after de novo approval is received.