Urologix Sells Up, Pays Down Debt
This article was originally published in Clinica
Executive Summary
Benign prostate hyperplasia therapy company Urologix, Inc. has sold its operating assets to a private buyer, using the proceeds from the sale to pay down debt it owes to Medtronic. The beleaguered firm had licences the Prostiva RF device from Medtronic, which it sells together with the Cooled ThermoTherapy to treat BPH. In a SEC regulatory filing, Urologix said that as of March 31, 2015, the company did not have enough funds to pay Medtronic the $2.8m it owed for Prostiva. Urologix, which is also based in Minneapolis, had accumulated total net losses of $127.8m from its inception of business through March 31, 2015. The unnamed buyer of Urologix’s assets will operate the existing business through an entity called Urologix LLC and will continue to sell the Cooled ThermoTherapy and Prostiva products through this organization. What remains of Urologix, Inc. has been renamed 21st North, Inc. which has no operations and has started “an orderly wind down”. 21st North will submit a plan of dissolution to its shareholders for approval in the following weeks, and “will not be making liquidating distributions to shareholders at any time.”