US-based medical equipment manufacturer GT Medical Technologies has agreed to acquire the radioactive Cesium-131 seed business and its infrastructure from Isoray Medical, a subsidiary of radiopharmaceutical company Perspective Therapeutics.
The radioactive seeds form an important component of GT Medical’s GammaTile Therapy, intended for patients undergoing brain tumour resection surgeries, who need radiation therapy.
GammaTile features bioresorbable collagen embedded with Cesium-131 radioactive seeds.
The Surgically Targeted Radiation Therapy (STaRT) is designed to start radiation immediately after tumour removal to help eradicate residual tumour cells.
The acquisition is anticipated to close in the first quarter of 2024, subject to the satisfaction of certain customary closing conditions.
Perspective Therapeutics CEO Thijs Spoor said: “We think GT Medical Technologies believes in the future of brachytherapy and has been a major innovator and investor in the technology in recent years.
“The transaction is expected to create a dominant force in US and global brachytherapy, focusing on, and investing in improved outcomes for patients with multiple tumours using a single best-in-class isotope.
“This will allow Perspective Therapeutics to increase focus on accelerating clinical development of our proprietary alpha-particle therapy portfolio, with the added confidence that Cesium-131 as a brachytherapy technology, and the incredibly talented team dedicated to its production and commercialisation, is in excellent hands.”
GT Medical has secured the US Food and Drug Administration (FDA) approval for GammaTile to treat newly diagnosed malignant intracranial neoplasms and recurrent intracranial neoplasms.
In March 2020, the US medical device maker started commercialising its Gamma Tile technology, which has been adopted by more than 100 US brain tumour treatment centres.
Through the acquisition, GT Medical will obtain access to radioactive seed production, strengthening its market position.
Also, the US medical device maker is enabled to expand its customer base, adding various facilities treating patients with prostate, lung, head and neck, and gynaecological tumours.
Furthermore, the acquisition is expected to reduce the time required from the customer order to product delivery, allowing more patients to benefit from the advanced radiation technology.
GT Medical Technologies CEO Matthew Likens said: “By agreeing to acquire Cesium-131-related assets from Isoray, GT Medical Technologies is poised to enhance the delivery of GammaTile Therapy in the US market.
“Also, acquiring the legacy Isoray business will allow us to streamline existing operations and deepen our partnership with the radiation oncologist community.
“We are excited about integrating with Isoray’s Cesium-131 brachytherapy team following the closing of the transaction.”
