Bioventus, a global leader in orthobiologics, has agreed to an additional US$15 million equity investment in CartiHeal, developer of the proprietary Agili™-C implant for the treatment of joint surface lesions in traumatic and osteoarthritic joints, and an option structure under which Bioventus will acquire the company shortly after FDA approval of the Agili-C implant, as detailed in the press release. The investment follows the recently completed enrollment and outcome of interim analysis in CartilHeal’s investigational device exemption (IDE) multinational pivotal study. An additional US$5 million can be secured by CartiHeal from Bioventus, if needed, for IDE study completion.
Latham & Watkins LLP represents Bioventus in the transaction with a corporate deal team led by Bay Area partner Mark Bekheit, with Bay Area associate Bret Stancil and Orange County associate Eric Hanzich. Advice was also provided on benefits and compensation matters by Bay Area partner James Metz, with Bay Area associate Brianna Stellpflug; on intellectual property matters by Bay Area partner Judith Hasko, with Bay Area associate Gavin Liu; on tax matters by Washington, D.C. partner Andrea Ramezan-Jackson, with Houston associate Jared Grimley; on regulatory matters by Washington, D.C. partner Ben Haas, with Washington, D.C. associate Nathan Beaton; on healthcare and privacy maters by Washington, D.C. partner Stuart Kurlander and Bay Area counsel Betty Pang and Heather Deixler, with Washington, D.C. associate Margaret Rote; on environmental regulatory matters by Washington, D.C. partner Tommy Beaudreau and Orange County counsel Nikki Buffa; and on FCPA and export control matters by Washington, D.C. counsel Tim McCarten and Annie Froehlich.