FRANKLIN, Mass., Jan. 11 -- PLC Systems Inc. has formed a strategic marketing alliance and exclusive distribution agreement with Edwards Lifesciences Corp. for PLC's next generation CO2 TMR laser technology.
Under the multiyear agreement, Edwards will distribute PLC's system and all associated disposable components to cardiovascular clinicians and institutions throughout the US. PLC's next generation system is currently awaiting approval from the US Food and Drug Administration. Edwards will also market and distribute disposable components to PLC's premier heart center customers in the US.
In conjunction with this agreement, PLC will receive a $4 million equity investment through the sale of 5.3 million shares of its common stock, at $0.75 per share, to Edwards. The per share price was calculated on a five-day trailing average from December 29 through January 5. In addition, PLC granted Edwards warrants to purchase 3 million shares at exercise prices ranging from $1.50 to $3.50. The closing equity investment and the execution of the distribution agreement are subject to customary closing conditions.