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TELA Bio divests NIVIS rights to MiMedx for up to $12 million

EditorEmilio Ghigini
Published 03/20/2024, 07:24 AM
© Reuters.
TELA
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MALVERN, Pa. - TELA Bio, Inc. (NASDAQ:TELA), a medical technology company specializing in soft-tissue reconstruction solutions, has announced the sale of its NIVIS Fibrillar Collagen Pack distribution rights to MiMedx Group, Inc., an Atlanta-based company known for its regenerative biomaterial products and therapies.

The deal, which could reach a total consideration of up to $12 million, includes an upfront payment of $5 million from MiMedx, with additional future payments ranging from $3 million to $7 million, contingent on NIVIS's net sales over the forthcoming two-year period.

NIVIS, an absorbent collagen matrix, is used for managing wounds with moderate to heavy exudation and for controlling minor bleeding. The acquisition by MiMedx, a company that focuses on healing solutions in wound care, burn, and surgical healthcare sectors, aims to enhance the market presence of this TELA Bio-designed product.

Antony Koblish, President and CEO of TELA Bio, expressed confidence in MiMedx's ability to increase the market share and deliver NIVIS to a broader audience of surgeons and patients. He also stated that TELA Bio looks forward to expanding its own portfolio, which includes new hernia repair and reconstructive surgery products, such as the LIQUIFIX hernia mesh fixation devices and OviTex Reinforced Tissue Matrices.

TELA Bio has positioned itself as a provider of advanced soft-tissue reconstruction solutions that prioritize patient anatomy preservation and natural healing, while minimizing exposure to permanent synthetic materials.

This transaction is part of TELA's strategic efforts to focus on its core product lines and enhance its financial position. The company has not provided guidance on the expected financial impact of the sale.

The information for this report is based solely on a press release statement.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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