NGN Capital Led Syndicate Participates In Selling Sightline Technologies Ltd. To Stryker Corporation

NGN Capital realized its first exit by participating in the sale of Sightline Technologies Ltd. (“Sightline”) to Stryker Corporation (NYSE:SYK). In August, 2005, NGN Capital led a $10 million financing of Sightline, an innovative medical device company located in the Advanced Technology Center in Haifa, Israel. The investment syndicate, including Vitalife, Infinity, Inventech, and the Fishman Group, purchased Series D preferred stock. Sightline is focused on commercializing and further developing the FDA-cleared ColonoSight® system, a colonoscope with a disposable ColonoSleeve® tube and sheath, which is used for diagnosing and treating abnormalities in the large intestine. Terms of the transaction include an upfront payment of $50 million in cash plus the assumption of certain liabilities. Stryker has also agreed to make milestone payments of up to an additional $90 million upon the achievement of certain operational and financial targets related to Sightline’s products.

"Stryker is a leader in the rigid endoscopy market. This acquisition allows us to apply our core competencies in visualization technology and sales and marketing to the flexible endoscopy market. Additionally, Sightline will potentially open up new markets for our Communications and Video Accessories businesses,” stated Bill Enquist, President of Stryker Global Endoscopy.

Avi Levy, Chief Executive Officer of Sightline, stated that “Stryker is dedicated to providing world-class care to patients. With Sightline’s products, Stryker will continue to set the bar for innovative products by bringing new, patient-friendly technology to the GI marketplace backed by the Stryker name and service reputation.”

Kenneth S. Abramowitz, Managing General Partner, represented NGN Capital as the lead partner in this investment and held the board of directors seat. “I am very excited to see Sightline join forces with a company of the caliber of Stryker. Stryker’s financial and marketing resources greatly complement Sightline’s technological prowess, thereby significantly increasing the prospect of a successful market entry in 2007.” John R. Costantino, a Managing General Partner of NGN Capital, held an observer seat on the board of directors.

About Stryker Corporation
Stryker Corporation is one of the world’s leading medical technology companies with the most broadly based range of products in orthopaedics and a significant presence in other medical specialties. Stryker works with respected medical professionals to help people lead more active and more satisfying lives. The Company’s products include implants used in joint replacement, trauma, craniomaxillofacial and spinal surgeries; biologics; surgical, neurologic, ear, nose & throat and interventional pain equipment; endoscopic, surgical navigation, communications and digital imaging systems; as well as patient handling and emergency medical equipment. Stryker also provides outpatient physical therapy services in the United States.

About NGN Capital
NGN Capital is a global healthcare venture capital investment firm with offices in New York, NY, Heidelberg, Germany, and Greenwich, CT. NGN has investment capabilities across a broad spectrum of healthcare and biotechnology segments, including drug products, medical devices, and healthcare services, with an emphasis on later-stage opportunities.

More information on NGN can be found at
Contact: John R. Costantino
+1 212-972-0077

Additional Portfolio Company Articles:

Print Version