MARLBOROUGH, Mass. and SUZHOU, China, April 14, 2015 /PRNewswire/ -- Boston Scientific Corporation (NYSE: BSX), a leading global medical device company, announced the signing of a strategic alliance with Frankenman Medical Equipment Company, a recognized leader with deep local market expertise in the China surgical devices market. This alliance is expected to enable Boston Scientific and Frankenman to reach more clinicians and treat more patients by providing access to training on less invasive endoscopic technologies and the clinical and economic benefits these therapies can provide. CPEChina Fund, an entity of CITIC PE, is a current shareholder of Frankenman and will continue to support the company's growth in alignment with this strategic partnership.
"Each year, more than one million bile duct stone removal procedures in China are performed as open surgeries. While less invasive endoscopic procedures can lead to better patient outcomes and reduced health care costs, access to these procedures is extremely limited," said Warren Wang, managing director and vice president, Greater China, Boston Scientific. "We are excited to cultivate this relationship and leverage Frankenman's local market expertise in China, while simultaneously sharing our proficiency in the endoscopy market to deliver the improved patient outcomes and economic benefits of less invasive care."
Under the terms of the agreement, Boston Scientific will become a shareholder of Frankenman, and provide services and expertise to Frankenman to support its continued growth, development pipeline and manufacturing capabilities. The companies have agreed to work together to develop and manufacture products in China to better serve the unique needs of the Chinese market, as well as jointly commercialize selected products in China.
"We are excited to collaborate with Boston Scientific, a global medical technology leader, and ensure patients and physicians in China will have access to the minimally invasive solutions," said Weng Zhiqiang, founder and chairman, Frankenman Medical Equipment Company. "The support from Boston Scientific will help Frankenman further accelerate its development and penetration of the market."
The transaction is expected to close in the first half of 2015, subject to customary closing conditions.
About Frankenman Medical Equipment Company
Frankenman is a private company headquartered in Suzhou, China. The company was established in 2003 and is the local market leader in surgical staplers. The company serves over 1000 hospitals in China, with 200+ full-time and contract employees, and has commercial operations in Europe, Other Asia, Latin America and Africa.
About Boston Scientific
Boston Scientific transforms lives through innovative medical solutions that improve the health of patients around the world. As a global medical technology leader for more than 35 years, we advance science for life by providing a broad range of high performance solutions that address unmet patient needs and reduce the cost of healthcare. For more information, visit www.bostonscientific.com and connect on Twitter and Facebook.
Cautionary Statement Regarding Forward-Looking Statements
This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Forward-looking statements may be identified by words like "anticipate," "expect," "project," "believe," "plan," "estimate," "intend" and similar words. These forward-looking statements are based on our beliefs, assumptions and estimates using information available to us at the time and are not intended to be guarantees of future events or performance. These forward-looking statements include, among other things, statements regarding our business plans, the alliance with Frankenman Medical Equipment Company, and product performance and impact. If our underlying assumptions turn out to be incorrect, or if certain risks or uncertainties materialize, actual results could vary materially from the expectations and projections expressed or implied by our forward-looking statements. These factors, in some cases, have affected and in the future (together with other factors) could affect our ability to implement our business strategy and may cause actual results to differ materially from those contemplated by the statements expressed in this press release. As a result, readers are cautioned not to place undue reliance on any of our forward-looking statements.
Factors that may cause such differences include, among other things: future economic, competitive, reimbursement and regulatory conditions; new product introductions; demographic trends; intellectual property; litigation; financial market conditions; and, future business decisions made by us and our competitors. All of these factors are difficult or impossible to predict accurately and many of them are beyond our control. For a further list and description of these and other important risks and uncertainties that may affect our future operations, see Part I, Item 1A -- Risk Factors in our most recent Annual Report on Form 10-K filed with the Securities and Exchange Commission, which we may update in Part II, Item 1A -- Risk Factors in Quarterly Reports on Form 10-Q we have filed or will file hereafter. We disclaim any intention or obligation to publicly update or revise any forward-looking statements to reflect any change in our expectations or in events, conditions, or circumstances on which those expectations may be based, or that may affect the likelihood that actual results will differ from those contained in the forward-looking statements. This cautionary statement is applicable to all forward-looking statements contained in this document.
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