NGN Capital Led Syndicate
Participates In Selling Sightline Technologies Ltd. To Stryker
Corporation
NGN Capital realized its first exit by participating in the sale
of Sightline Technologies Ltd. (“Sightline”) to Stryker
Corporation (NYSE:SYK). In August, 2005, NGN Capital led a $10
million financing of Sightline, an innovative medical device company
located in the Advanced Technology Center in Haifa, Israel. The
investment syndicate, including Vitalife, Infinity, Inventech,
and the Fishman Group, purchased Series D preferred stock. Sightline
is focused on commercializing and further developing the FDA-cleared
ColonoSight® system, a colonoscope with a disposable ColonoSleeve®
tube and sheath, which is used for diagnosing and treating abnormalities
in the large intestine. Terms of the transaction include an upfront
payment of $50 million in cash plus the assumption of certain
liabilities. Stryker has also agreed to make milestone payments
of up to an additional $90 million upon the achievement of certain
operational and financial targets related to Sightline’s
products.
"Stryker is a leader in the rigid endoscopy market. This
acquisition allows us to apply our core competencies in visualization
technology and sales and marketing to the flexible endoscopy market.
Additionally, Sightline will potentially open up new markets for
our Communications and Video Accessories businesses,” stated
Bill Enquist, President of Stryker Global Endoscopy.
Avi Levy, Chief Executive Officer of Sightline, stated that “Stryker
is dedicated to providing world-class care to patients. With Sightline’s
products, Stryker will continue to set the bar for innovative
products by bringing new, patient-friendly technology to the GI
marketplace backed by the Stryker name and service reputation.”
Kenneth S. Abramowitz, Managing General Partner, represented
NGN Capital as the lead partner in this investment and held the
board of directors seat. “I am very excited to see Sightline
join forces with a company of the caliber of Stryker. Stryker’s
financial and marketing resources greatly complement Sightline’s
technological prowess, thereby significantly increasing the prospect
of a successful market entry in 2007.” John R. Costantino,
a Managing General Partner of NGN Capital, held an observer seat
on the board of directors.
About Stryker Corporation
Stryker Corporation is one of the world’s leading medical
technology companies with the most broadly based range of products
in orthopaedics and a significant presence in other medical specialties.
Stryker works with respected medical professionals to help people
lead more active and more satisfying lives. The Company’s
products include implants used in joint replacement, trauma, craniomaxillofacial
and spinal surgeries; biologics; surgical, neurologic, ear, nose
& throat and interventional pain equipment; endoscopic, surgical
navigation, communications and digital imaging systems; as well
as patient handling and emergency medical equipment. Stryker also
provides outpatient physical therapy services in the United States.
About NGN Capital
NGN Capital is a global healthcare venture capital investment
firm with offices in New York, NY, Heidelberg, Germany, and Greenwich,
CT. NGN has investment capabilities across a broad spectrum of
healthcare and biotechnology segments, including drug products,
medical devices, and healthcare services, with an emphasis on
later-stage opportunities.
More information on NGN can be found at www.ngncapital.com
Contact: John R. Costantino
+1 212-972-0077
jcostantino@ngncapital.com
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