LifeWave Hi-Tech Medical Devices Ltd. (TASE:LIFE) has discontinued negotiations with a US investor to set up a joint venture to market LifeWave's Best Sore Treatment (BST) device for the treatment of chronic wounds. LifeWave said its board cancelled the memorandum of understanding (MOU) when the US group failed to meet the targets set in it.
When the MOU was signed, LifeWave said that it was conditional on the US group meeting a number of terms, and that there was no guarantee that a deal would be closed. The US group was supposed to make a $38 million initial payment, and one of the conditions was to raise substantial capital for the joint venture, but the US group didn’t.
LifeWave is continuing BST sales in Europe, posting NIS 640,000 in sales in the first half of 2009, less than half the NIS 1.4 million in sales in the first half of 2008.
LifeWave recently appointed former MK and minister Haim Ramon as chairman.
LifeWave's share was unchanged at the opening today at NIS 6.03, after falling 0.2% yesterday. Its market cap is NIS 88.8 million.
Published by Globes [online], Israel business news - www.globes-online.com - on November 23, 2009
© Copyright of Globes Publisher Itonut (1983) Ltd. 2009