I agree it is very interesting. MDT has decided to get out of the stent business completely it would seem. Given the growth charateristics of the stent market, it is an admission of defeat by MDT.
The question is, now what do they do? I don't know MDT's financials off the top of my head, but I do know they are debt free for all intents and purposes. Intravascular Therapeutics (privately held) must have paid them SOMETHING for the biz, underperforming though it was.
Is it common for a company to divest itself of a line of business then immediately purchase a similar line? Not in my experience. But AVE is CHEAP. Great management, great technology and market position, anda packed product pipeline. Seems like an aquisition would be timely.
Sorry I can't add anything more to the fire.
mmeggs
P.S. Re: Stent quality.
Different stents ahve different strengths, as measured by radiopacity, flexibility, profile, ease of use, etc. My research on the subject ranks AVE with the best stent overall, not the Nir from BSX. (Tough to endorse a stent as the highest quality when it has been recalled.)It should be noted that Guidant has the Duet II out which has been selling extremely well, and AVE will have the gfx III out in late 1Q '99. |
