Merit Medical Systems announced this week that it has purchased the HeRO Graft vascular access system and its related assets from CryoLife for $18.5 million.
HeRO Graft has already received 510(k) clearance from the FDA and has the CE marking.
“This is a product line we have had interest in for some time,” Fred P. Lampropoulos, Merit chairman and CEO, said in a prepared statement. “We believe the HeRO Graft will help enhance our existing presence with vascular surgeons as well as interventional radiologists. We believe other Merit product lines, such as our peritoneal dialysis catheters, which are most often implanted by vascular surgeons, and our line of chronic dialysis catheters, will be improved as well. We understand that ninety percent of the HeRO Graft sales have been in the United States with the balance mainly in Germany and the United Kingdom. We believe that a substantial opportunity exists in the international marketplace, especially with our global sales, marketing and clinical footprint.”
According to Merit’s calculations, the HeRO Graft’s revenues were approximately $7.5 million in 2015 and its gross margins were approximately 55 percent.
Merit Medical is a medical device company based out of South Jordan, Utah. CryoLife has its headquarters in Atlanta and manufactures, processes, and sells living tissues and medical devices.