Gore Partners with Medinol on the Rebound in Global Stent Deal

As the stent market matures, how much value exists in having a balloon and a delivery system but not a stent? And similarly, how valuable is innovative stent technology without significant distribution capability? In both cases, the answer is apparently not enough in the views of W.L Gore & Associates Inc. and Tel Aviv, Israel-based Medinol Ltd. The two privately -held companies entered into a worldwide partnership agreement covering stents and stent systems, the exact terms of which have not been disclosed. [See Deal]. What's clear, however, is that the deal enables each company to fill a significant hole in their interventional cardiology product lines, while also restoring worldwide distribution channels for Medinol. The Israeli company, which focuses exclusively on developing and manufacturing innovative stent technology, lost its sales and marketing channel this year after dissolving a longstanding agreement with Boston Scientific Corp. Now, it will be able to utilize the balloon and stent delivery system that Gore plans on unveiling later this year, along with Gore's distribution network, while Gore will have access to Medinol's innovative stent line, including the new NIRflex stent.

Medinol had been Boston Scientific's exclusive stent supplier since the two companies signed a ten-year worldwide distribution agreement in 1995....