Intravascular ultrasound developer EndoSonics signed an agreement with North American Scientific this month under which the two firms will collaborate on beta radiation catheters and shielded delivery systems for a brachytherapy cardiovascular treatment
Intravascular ultrasound developer EndoSonics signed an agreement with North American Scientific this month under which the two firms will collaborate on beta radiation catheters and shielded delivery systems for a brachytherapy cardiovascular treatment device Endosonics is developing. Rancho Cordova, CA-based Endosonics hopes to apply this quarter for an investigational device exemption (IDE) from the Food and Drug Administration to begin human clinical trials with the device, which it is developing with Cleveland Clinic Foundation.
Chatsworth, CA-based North American will manufacture the tungsten radiation sourcewire and shielded base unit for the device, which will be designed to treat coronary arteries that are prone to restenosis. The catheter will use ultrasound to deliver radiation to the affected part of the diseased artery, a technique Endosonics plans to implement using the 3-D visualization capabilities of its intravascular ultrasound (IVUS) technology. The device will undergo phase I clinical trials at the Cleveland Clinic and Metro Health Medical Center, the Scripps Clinic in La Jolla, CA, Bowman Grey University School of Medicine in Winston-Salem, NC, and Washington Hospital Center in Washington, DC.
On the financial side, Endosonics reported that it expects to post revenues of $11.6 million for fourth quarter 1999 (end-December), exceeding its earlier estimate. Despite the good news, the company is cutting 10% of its nonsales staff, which was 380 employees at the end of 1999. Endosonics expects to save $2 million from this staff reduction, after posting a charge of $100,000 in its fourth-quarter results.
Also leaving the firm is Richard Fischer, chief financial officer, who resigned due to family considerations, the company said. Corporate controller Kathleen Redd will act as CFO until a permanent replacement for Fischer is found.