Acquisition

6 Months Ended

Jun. 30, 2015

Acquisition

2. Acquisition

On July 1, 2015, the company acquired all the outstanding shares of Vascular Pathways, Inc. (“VPI”), a privately-held developer and supplier of vascular access devices. VPI manufactures the AccuCath^® Intravenous Catheter System, a United States Food and Drug Administration cleared device that enables rapid and safe peripheral intravenous (“PIV”) insertion. This acquisition allows the company to expand its wire-assist PIV technology platform to address unmet clinical needs and will supplement its intellectual property portfolio for wire-assist vascular access devices. The purchase consideration included an up-front cash payment of $89.9 million and future contingent payments of up to an additional $15 million based on specific revenue-based and manufacturing-related milestones. The company has not yet completed the initial purchase accounting due to the timing of this acquisition.