Medicis Pharmaceutical Corporation and Solta Medical have entered into a stock purchase agreement for Solta to acquire all outstanding shares of Medicis Technologies (formerly LipoSonix, Inc.), a subsidiary of Medicis Pharmaceutical. Under the terms of the agreement, Solta will pay to Medicis $15 million upon closing, up to $20 million upon the achievement of a near-term United States Food and Drug Administration (FDA) regulatory milestone and certain additional future contingent payments based upon—among other things—the achievement of specified year-to-year increases in the worldwide commercial performance of the LIPOSONIX noninvasive, ultrasound-based fat reduction technologies.
“We are pleased to announce this transaction with Solta,” said Jonah Shacknai, chairman and CEO of Medicis. “We believe Solta, with its specialization in capital equipment among other things, is well-suited to commercialize the novel LIPOSONIX technologies worldwide. Medicis continues to believe the worldwide market for fat ablation is attractive and lucrative.”
“The addition of LIPOSONIX to the Solta Medical family illustrates our strategy to broaden our portfolio of superior aesthetics solutions,” said Stephen J. Fanning, chairman of the board, president and CEO of Solta. “As the current industry leader in skin resurfacing and tightening, Solta will expand into the large and growing market for the noninvasive destruction of fat.