Press Release
SOURCE: Given Imaging
Given Imaging Partners with Marubeni and Suzuken
in Japan
Powerful Joint-Venture will Introduce the Given Diagnostic System to
the Japanese Market
YOQNEAM, Israel, TOKYO, AND NAGOYA, Japan, May 13 /PRNewswire-FirstCall/ --
Given Imaging Ltd. (Nasdaq: GIVN - News), developer of the M2A ingestible capsule
endoscope and the Given Diagnostic System, Marubeni Corporation (TSE: 8002) one of
Japan's largest trading corporations, and Suzuken Co., Ltd. (TSE: 9987), Japan's largest
pharmaceuticals distributor, today announced the formation of a joint venture to commercialize
the Given Diagnostic System and the M2A capsule endoscope in Japan.
The joint venture, Given Imaging KK, will submit a request for regulatory and insurance
reimbursement coverage in Japan, and then launch and market the Given Diagnostic System.
Suzuken, which has more than 3,500 sales representatives, nearly countrywide coverage, and
over $7 billion in sales last year, was appointed by Given Imaging KK as its exclusive
sub-distributor in Japan. Marubeni, with approximately $75 billion in trading volume last year,
was appointed Given Imaging KK's exclusive import agent. Triangle Technologies Ltd., which
has helped form numerous strategic alliances in Japan, assisted Given Imaging in forming the
joint venture.
"We see enormous potential for our M2A capsule endoscope in Japan and have selected the
right partners to accelerate our penetration. By combining Marubeni's unparalleled presence in
Japan with Suzuken's broad medical products distribution channel and Given's proven
marketing experience, we have created a formidable new force in gastrointestinal diagnostics"
commented Dr. Gavriel Meron, President and CEO of Given Imaging.
"The joint venture comes true very timely. Japan is the second largest market in the world of
gastrointestinal diagnostics and we are quite confident of furthering the business successfully.
We are also pleased to establish this important collaboration with Given Imaging and Suzuken
which will help deepen the activity of Marubeni Corporation for the business incubation of
innovative technology commercialization in Japan" said Mr. Hitoshi Sakamoto, Corporate
Vice President, Executive Corporate Officer, Business Incubation Department of Marubeni
Corporation.
"Conventional method of gastrointestinal examination by endoscope equipment has been very painful for patients. However, the
innovative capsule endoscope is very patient-friendly and reduces patient discomfort significantly. We would like to release such
an excellent product for patients as early as possible. We believe this product will be a great business for Suzuken" said Mr.
Shigeru Wada, General Manager, Business Development Department of Suzuken.
Japan, with a population of 127 million, is the second largest healthcare market in the world in terms of total spending. It may
take two years to attain approval from the Ministry of Health and Labor of the Japanese Government to market the Given
Diagnostic System in Japan.
Marubeni and Suzuken will invest JPY 550 million (US$ 4.2 million) combined in the joint venture company, for a 49% equity
stake, while Given Imaging Ltd. will retain the controlling share. Other terms of the joint venture were not disclosed.
About Given Imaging
Given Imaging produces and markets the Given Diagnostic System, which features the M2A® Capsule Endoscope, a
fundamentally new approach to examining the gastrointestinal tract. The system uses a disposable miniature video camera
contained in a capsule that is ingested by a patient and delivers high quality color images in a painless and noninvasive manner.
The test can be conducted while a patient continues normal daily activities. The system received clearance from the FDA in
August 2001 and received permission to affix the CE mark in May 2001. It is currently available in 34 countries worldwide,
including the USA, Canada, Europe, many countries in Latin America, and Israel. Many thousands of patients suffering from
diseases in the small intestine such as Crohn's, celiac disease, unexplained abdominal pain with diarrhea, polyposis, intestinal
tumors, iron deficiency anemia and obscure bleeding have already benefited from this innovative technology. For more
information, visit givenimaging.com.
About Marubeni
Marubeni was founded in the year 1858 as a linen trading company. Today Marubeni is a multinational trading company, with
total trading transactions in 2001 amounting to 76 billion US dollars and total assets of 43 billion US dollars. Marubeni is mainly
involved in a variety of activities including: IT Business, Utility and Infrastructure, Plant & Ship, Transportation & Industrial
Machinery, Metals, Energy, Chemicals and Development & Construction. Marubeni's major shareholders include: Yasuda Fire
& Marine Insurance, State Street Bank & Trust Company, Mizuho Bank, Yasuda Mutual Life Insurance, The Chase
Manhattan Bank, Tokyo Marine and Fire Insurance, Mitsui Sumitomo Bank, and Nippon Life Insurance Company
About Suzuken
Suzuken is Japan's leading provider of pharmaceuticals and healthcare- related products. With its subsidiaries and associated
companies, Suzuken serves approximately 90,000 healthcare organizations and dispensing pharmacies in 37 of Japan's 47
prefectures presently and plans to establish a nationwide presence and a market share of 25% by 2010. Leveraging its core
pharmaceutical business, Suzuken is developing innovative services for the distribution of healthcare products. Suzuken intends
to remain the first choice of customers as Japan's premier healthcare solution provider. For more information, visit
suzuken.co.jp
About Triangle Technologies
Triangle Technologies (Tel-Aviv & Tokyo) is a leading business development firm specializing in the Japanese market, having
facilitated dozens of technology related deals. Triangle Technologies' professional team helps non-Japanese clients build
strategic alliances, raise capital, and create new ventures. Since 1989 Triangle Technologies' has created value for its
non-Japanese clients by matching their technological innovation with Japanese market innovation and opportunities. Internet:
triangletech.com.
This press release contains forward-looking statements, including projections about Given Imaging's business, within the
meaning of Section 27A of the U.S. Securities Act of 1933 and Section 21E of the U.S. Securities Exchange Act of 1934. For
example, statements in the future tense, words such as "anticipates," "estimates," "expects," "intends," "plans," "believes,"
"intends" and words and terms of similar substance used in connection with any discussion of future operating or financial
performance identify such forward-looking statements. Those forward-looking statements are not guarantees of future
performance and actual results could differ materially from Given Imaging's current expectations as a result of numerous factors,
including but not limited to the following: the joint implementation with Marubeni and Suzuken partners of a successful business
strategy for Given Imaging K.K, changes in regulatory environment, receipt of regulatory approvals, success in implementing
Given Imaging's sales, marketing and manufacturing plan, protection and validity of patents and other intellectual property rights,
the impact of currency exchange rates, the effect of competition by other companies, the outcome of future litigation, our
success in securing reimbursement for the Given Diagnostic System from healthcare payors, and other risks disclosed in Given
Imaging's filings with the U.S. Securities Exchange Commission.
SOURCE: Given Imaging |
