SINGAPORE – Home-grown M&L Healthcare Investments has completed a US$250 million (S$334 million) sale of its arterial ischaemia treatment technology start-up LimFlow to Nasdaq-listed Inari Medical.
Under the terms of the agreement, M&L Healthcare and LimFlow will also be eligible to receive up to US$165 million in additional payments based on certain “commercial and reimbursement milestones”.
This could take the potential transaction value to as much as US$415 million.
No details were provided on what these milestones would be.
The deal was inked in October and completed recently.
LimFlow’s minimally invasive technology for the treatment of chronic limb-threatening ischaemia (CLTI), a severe form of peripheral artery disease, received the United States Food and Drug Administration’s pre-market approval in September.
CLTI is common in patients suffering acute Type 2 diabetes, and often requires amputation of limbs as veins narrow and ultimately shut down due to the disease.
But the LimFlow system for transcatheter arterialisation of the deep veins – which has been in development for 10 years – is designed to re-establish blood flow in deep veins for CLTI patients who have no other suitable endovascular therapeutic options, according to vascular surgeon and M&L Healthcare’s chief medical officer Steven Kum.
“This breakthrough therapy has already achieved several significant milestones out of the work done in US, Europe and Singapore, including the first-in-man procedure which was performed by the vascular team at Changi General Hospital,” said Dr Kum.
“LimFlow has revolutionised the treatment of CLTI, aiding in wound healing and preventing debilitating amputations.
“It grants patients a second chance and potentially enhances their lifespan and quality of life. Considering Type 2 diabetes is the major cause of CLTI globally, the availability of LimFlow is crucial for improved patient outcomes.”
M&L Healthcare is a Singapore-based, family-owned investment fund founded by shipping tycoon Michael Kum and his wife Lynda.
Besides Mr and Mrs Kum and their son, Dr Steven Kum, the company’s other director is Ms Jocelyn Kum, who is Mr Kum’s daughter and M&L Healthcare’s executive director.
The company often invites venture capital and institutional investors to participate in its medtech start-ups.
In the case of LimFlow, other investors include Sofinnova Partners, Bpifrance, Balestier (an affiliate of M&L Healthcare Investments), Longitude Capital, Soleus Capital and Inari Medical.
LimFlow was incubated by medtech accelerator MD Start, and co-founded by Dr Martin Rothman and Mr Tim Lenihan.
According to Ms Kum, M&L Healthcare’s value proposition is its combination of both medical expertise and the family office’s unique investment strategy. She added that M&L Healthcare’s strategic priority was to invest in medtech that significantly improves patient outcomes.
“We aim to make a tangible difference in people’s lives by prioritising investments in technologies that not only improve patients’ lives, but also significantly reduce healthcare costs,” said Ms Kum.
M&L Healthcare currently has total investment commitments of $63 million across 13 medtech ventures, resulting in a total investment value of $190 million.
It is a subsidiary within the diversified M&L Group – which also includes M&L Hospitality, M&L Shipping and M&L Alternatives, which invests in companies and technology with a food focus.
The M&L Group’s group of companies is valued at approximately $3.5 billion, said M&L Healthcare.
