Printer Friendly

INAMED ANNOUNCES SALE OF ONE SUBSIDIARY AND CHANGES IN MANUFACTURING AT ANOTHER

 LAS VEGAS, Sept. 7 /PRNewswire/ -- INAMED Corporation (NASDAQ: IMDC; PSE: INA), an international medical and surgical device company, headquartered in Las Vegas, today announced the sale of its wholly owned subsidiary, Specialty Silicone Fabricators, Inc. (SSF), a manufacturer of silicone components for the medical device industry with production facilities in Paso Robles and Santa Ana, Calif.
 In a transaction valued at about $10.8 million, INAMED has received a combination of $2.7 million in cash and short-term and long-term notes from Innovative Specialty Silicone Acquisition Corp., a private investment group headed by certain members of SSF management. As part of the transaction, 450,000 to 500,000 shares of INAMED's common stock currently held by SSF management will be retired. The value of the stock will be applied against balances outstanding on short-term notes.
 In another development, INAMED said a wholly owned subsidiary, CUI Corporation of Goleta, Calif., will no longer manufacture and distribute saline-inflatable breast prostheses. However, CUI will continue to distribute its extensive line of soft tissue expanders, facial implants, wound drains, TopiGel(TM) for scar management and accessory products.
 According to INAMED Chairman Donald K. McGhan, "These changes are part of management's strategy to consolidate its focus on the plastic and reconstructive, bariatric, dermatological and general surgery markets. We will continue to manufacture saline-filled breast implants and related products at McGhan Medical Corp. in California and at our facility in Ireland, and at the same time we will concentrate on the development of INAMED's businesses outside of plastic surgery products, particularly in the bariatric market."
 Mr. McGhan noted that the sale of SSF will help to reduce debt and strengthen INAMED's balance sheet. "We strive to maintain a strong operating base, as legal costs associated with breast implant litigation are expected to be a continued draw on liquidity for the foreseeable future."
 The company reported sales of over $64.3 million for calendar/fiscal 1992.
 -0- 9/7/93
 /CONTACT: Michael D. Farney, CEO of INAMED, 702-791-3388, or Jimmy Caplan of Market Makers, 805-569-0076/
 (IMDC)


CO: INAMED Corporation ST: Nevada IN: MTC SU:

SM -- NY008 -- 9205 09/07/93 09:15 EDT
COPYRIGHT 1993 PR Newswire Association LLC
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 1993 Gale, Cengage Learning. All rights reserved.

Article Details
Printer friendly Cite/link Email Feedback
Publication:PR Newswire
Date:Sep 7, 1993
Words:356
Previous Article:HEALTH AND REHABILITATION PROPERTIES TRUST ANNOUNCES PURCHASE OF SEATTLE, WASHINGTON FACILITY AND LEASE EXTENSION WITH SUN HEALTH CARE
Next Article:HEALTHCARE IMAGING SERVICES, INC., ANNOUNCES EXTENSION OF WARRANT EXERCISE PRICE REDUCTION PERIOD
Topics:

Terms of use | Copyright © 2016 Farlex, Inc. | Feedback | For webmasters