Deal Watch: HemCon acquires a global reach

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Archives - April 2008
Tuesday, April 01, 2008

By Robin Doussard

From tiny shrimp shells mighty companies grow. HemCon Medical Technologies, maker of the blood-stopping bandage used on battlefields that was developed with the Oregon Medical Laser Center and Providence St. Vincent’s Hospital, has made its first acquisition.

Portland-based HemCon announced in late February that it would pay almost $41 million in a cash-for-stock agreement for Alltracel Pharmaceuticals, a publicly traded Irish company that focuses on research and commercialization of health-care products. This move will

Hemcon.jpg

boost HemCon’s annual revenues in 2008 to about $100 million, and push the number of local jobs from 115 to 130 or 140, according to HemCon president and CEO John W. Morgan. (Alltracel’s headcount is 55.)

Morgan says Alltracel was a good fit because it will give HemCon access to retail channels in Europe for the recently released over-the-counter KytoStat bandage that is made from the same shrimp-based technology as the battlefield bandage, along with manufacturing capabilities in India and China, and access to nanotechnology manufacturing. Alltracel’s oral care products in turn get access to the U.S.

HemCon was founded in 2001 and has experienced tremendous growth. “But for us to really break out as a company and get to a size we wanted to be at, acquisitions needed to be part of a multi-pronged strategy,” Morgan says. “This gives us a much bigger revenue and earnings base on which we can now invest in current products and develop new products.”

The company’s international business also has boomed and now has 23 distribution partners in 45 countries.

Morgan says the next strategic push will be the KytoStat bandage’s expansion into the consumer market. Morgan says they are working on getting the bandage, available now on drugstore.com and at some Albertson’s supermarkets, into other retail outlets. The other project is a product that will address infected wounds.

As for more acquisitions? “Potentially,” says Morgan. “We are looking at a number of companies whose technology might fit nicely into our portfolio.” 

List researched by Mark Druskoff

MERGERS AND ACQUISITIONS
ANNOUNCED EXP. CLOSE BUYER / PARENT (HQ) SELLER (HQ) / PARENT PRICE (TERMS)
Feb. 12 Q2 ‘08 Sinar Mas Group (Indonesia) Fort St. James Sawmill / Pope & Talbot (Portland) $6m
Feb. 12 Q2 ‘08 Fox Lumber Sales (MT) Midway Sawmill / Pope & Talbot (Portland) $750k
Feb. 19 Q1 ‘08 Shimano American (CA) Pearl iZumi division / Nautilus (WA) $69.5m (cash+debt)
Feb. 22 Q2 ‘08 W. Graeme Roustan (Canada); Kohlberg & Co. Bauer Hockey subsidiary / Nike (Beaverton) $200m (cash)
Feb. 22 Q2 ‘08 Castlerise Investments / HemCon Medical Tech. (Portland) Alltracel Pharmaceuticals (Ireland) $40.8m
Feb. 22 Q1 ‘08 Access Systems Division (TX) / Overhead Door CladPanel division (Sweet Home) / Ankmar Door ND
REAL ESTATE TRANSACTIONS
ANNOUNCED BUYER / PARENT (HQ) REAL ESTATE (LOCATION) / SELLER (HQ) PRICE
Jan. 31 Daniel and Hooja Kim (Portland) Pennington Building (Portland) / 1314 NW Glisan Street LLC $3.2m
Feb. 6 undisclosed REIT (CA) Pointe West Apts. (Milwaukie) / Pointe West Apts. LLC $7.6m
Feb. 12 Real Estate Recovery Associates Forest and Garden Apartments (Portland) / family trust (Portland) $4.75m
Feb. 12 Harsch Investment Properties (Portland) Oceanside Business Center (CA) $9.7m
Feb. 20 Business Center Cedars West Apts. (Beaverton) / Los Arcos Associates; Dale H. Denson; Ross E. Crosby $4.3m
Feb. 20 Kendall Floral Supply 7.56-acre parcel (Canby) / Estate of Ray L Burden $1.65m
Feb. 20 Johanson Transportation Service (CA) office bldg. (Tigard) / Westec America $1.4m
Feb. 20 Urban Renaissance Group (WA); Great Point Investors (MA) Morgan Building (Portland) / LA County Employees Retirement System (CA) $27.5m
Feb. 29 Donahue Schriber (CA) Keizer Station (Keizer) / Chuck Sides (Salem) ND
Feb. 29 Imagine Hotel Group; Longview Partners Shilo Inn Hotel (WA) / Shilo Inn Vancouver (WA) $4.8m
CAPITAL RAISING
ANNOUNCED COMPANY (HQ) / LEADERSHIP INVESTOR (HQ) PRICE (TERMS)
Feb. 3 Tyfone (Portland) / Tom Spitzer, CEO Ojas Venture Partners (India) ND
Feb. 5 Pacific Crest Securities (Portland) / Scott E. Sandbo, chairman & CEO CIVC Partners (IL); Caltius Partners (CA) $30m (equity)
Feb. 5 GreenWood Resouces (Portland) /Jeff Nuss, president & CEO Phaunos Timber Fund Limited (UK) $200m (equity)
Feb. 21 Portland Habilitation Center Northwest (Portland) / John Murphy, president U.S. Bancorp’s Community Development (MN) $6.5m (debt)
Feb. 21 OHSU Cancer Institute (Portland) / Dr. Brian Druker, director Lori and Jen-Hsun Huang family (CA) $5m (donation)
Feb. 22 Oregon State University (Corvallis) / Edward Ray, president Giustina family (Eugene) $4m (donation)
Feb. 27 Pearl Buck Center (Eugene) / Ron Crasilneck, president state bond buyers $3m (conduit rev. bonds)
Feb. 28 Swanson Group Manufacturing (Glendale) / Steve Swanson, president state bond buyers $10m (conduit rev. bonds)
Feb. 28 Axial Vector Engine Corporation (Portland) / Ahmed Khalifa, chairman Dubai Consortium (United Arab Emirates) $45m (debt)

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Guest
0 #1 GarageGuest 2013-10-04 19:28:58
Is there a difference between a garage and an overhead door? Or are they the same thing?
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