The acquisition is one of the largest cross-border transactions in the medical device industry globally in recent years, as per a press release from Wallaby, and is driven by “strong growth opportunities in both product portfolio and geographic coverage”. It will enable the combined company to become a global leader in providing a wide range of neurovascular technologies and solutions to its customers and patients around the world, including in the USA, China, Europe, Japan and other international markets, the release adds.
The transaction has received all necessary regulatory approvals and has been completed—having been funded by the proceeds of a Series D financing round supported by leading healthcare investors. Michael Alper, CEO of Wallaby, will become CEO of the combined organisation, while phenox founder Hermann Monstadt will assume the role of managing director of phenox. All current phenox product brands will be retained, the release also details.
Phenox, which is headquartered in Bochum, Germany, provides a broad portfolio of neurovascular devices to treat ischaemic and haemorrhagic strokes that are sold in more than 45 countries worldwide. The two firms have been strategic partners since 2019, and phenox has been the exclusive distributor for Wallaby’s Avenir coil system in the US and European markets, as well as for Wallaby’s Esperance aspiration catheters in the US market.
As part of the transaction, Wallaby also acquired femtos, which develops and manufactures next-generation neurovascular devices for treating stroke, with special expertise in femtosecond laser technology for the manufacturing of stents and other implantable devices. Femtos has already developed two CE-approved products as well.
“The acquisition is a natural next step in the relationship of both companies and a transformational step in achieving our vision of saving the most lives affected by stroke,” said Alper. “The Wallaby-phenox combination will have deep roots in Europe and China, with a strong presence in the USA, and a recent entrance into the Japan market. By combining the highly complementary product pipelines of the two companies, we will be able to offer a full spectrum of world-class interventional neurovascular products and solutions. The broadened product portfolio, enhanced R&D [research and development] capability, and expanded geographic coverage, will provide Wallaby-phenox with an unparalleled competitive edge as we strive to become a global leader in the neurovascular market.”
“I am very pleased to be joining Wallaby,” said Monstadt. “Over the last 17 years, we have built a company that is committed to delivering optimal solutions for our customers and patients. Through our past collaboration with Wallaby, I have come to deeply respect this organisation and recognise our joint commitment to quality and innovation. This transaction will enable phenox’s technology to be further developed with Wallaby’s strong resources while also allowing phenox’s products to reach new markets, and creating significant opportunities for the combined company.”