KALAMAZOO ? A Canadian pharmaceutical company has agreed to purchase Kalamazoo-based Afmedica, a drug device company, for an undisclosed amount. Angiotech Pharmaceuticals will move Afmedica to Vancouver, British Columbia.
But the pending departure of Afmedica won?t be a loss for Kalamazoo?s life sciences industry, said Afmedica CEO Don Parfet, rather it will be a victory for Southwest Michigan efforts to build a life sciences cluster. He said some of the Afmedica employees will be announcing another life sciences company within the next month.
?We?re not losing any jobs; rather those employees are now being rewarded for their hard work through a successful financial exit. Those employees will now start the cycle all over again by starting new companies,?? Parfet said.
Afmedica was formed in 2002 by the Fischell family and the Apjohn Group to develop products which prevent excess scarring inside blood vessels following vascular surgery and adhesions after other surgical procedures. Five of the six employees are associated with Apjohn, of which Parfet is a managing director.
The pending sale will be a big win for Southwest Michigan investors. Besides Apjohn, other investors in Afmedica include TGap Ventures, another Kalamazoo-based venture capital company, plus about 15 Angel investors. Parfet declined to say how much collectively was invested in Afmedica. The deal should close within the next month.
In a press release, Rui Avelar, Senior Vice President of Medical Affairs and Communications of Angiotech, said Afmedica will strengthen Angiotech?s market leadership with respect to its Vascular Wrap product development program, where Angiotech is currently conducting human clinical studies. The transaction also will enable Angiotech to potentially expand its research platform with rapamycin in perivascular and other selected disease indications.
