ABIOMED to buy rights to Penn State artifical heart
DANVERS, Mass., Sept 21 (Reuters) - ABIOMED Inc.
(NasdaqNM:ABMD - news), a manufacturer of cardiovascular devices,
said on Thursday it would buy the exclusive rights to an artificial heart
designed by Penn State University for stock and warrants worth as much as $15.3 million.
ABIOMED will pay 55,000 shares of common stock, which based on Wednesday's closing price of
$59-15/16 is worth $3.3 million, plus warrants to buy as much as 200,000 ABIOMED shares, worth
$12 million at Wednesday's closing price.
The Danvers, Mass.-based company will get exclusive rights to the heart, plus the assets of BeneCor
Heart Systems, Inc., a company recently created to commercially market it.
The company will also collaborate with the school's medical centre and will have access to future
advances in the technology generated by the school's research and development team.
ABIOMED is already working on an artificial heart that it says is in an advanced stage of
development in preparation for initial human trials.
Shares in the company rose $2-3/4 on Wednesday.
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