Abbott Laboratories announced the acquisition of Integrated Vascular Systems Inc (IVS), a developer of a novel vessel closure technology. Under the terms of the agreement, Abbott acquired all of the equity of IVS, a privately held company, for approximately $65 million in cash plus an additional milestone payment if agreed-upon targets are met.

This transaction will not have an impact on the results of Abbott's 2003 ongoing operations, but will result in a one-time charge for in-process research and development. Additional financial terms of the agreement were not disclosed.

"This acquisition is an excellent fit with our strategy to build a comprehensive portfolio of vessel closure devices that meets the varied needs of clinicians," said Robert B. Hance, president, Abbott Vascular Devices, Abbott Laboratories. "IVS' technology is intended to offer clinicians an easy-to-use closure option -- without sacrificing confidence in the close -- and will be a natural complement to Abbott Vascular Devices' currently marketed closure technologies."

In 1999, Abbott acquired Perclose, a leader in vessel closure devices. Since the launch of its first system in 1994, Perclose's technology has enabled physicians to more quickly close the accessed vessel and reduce the bleeding after cardiac catheterization, allowing patients to ambulate safely and improving patient comfort. In addition, a prospective study indicated that use of this technology allows patients to go home sooner, requiring less nursing time for post-procedure monitoring, which may result in cost savings.

Abbott's portfolio of closure devices includes the recently launched enhanced Perclose A-T and the Closer S. In 2002, Abbott introduced the Chito-Seal topical hemostasis pad, which expedites clot formation and accelerates hemostasis.