Biotech Values

[DewDiligence]

MDT’s renal denervation system fails phase-3 trial for lack of efficacy:

http://in.reuters.com/article/2014/01/09/us-medtronic-study-device-idINBREA080L520140109

Medtronic said it would halt ongoing trials of the device in the United States, Japan and India.

The device was launched in Europe in April 2010, but its adoption was slow as austere governments were reluctant to pay for the unconventional technology. [As noted here on many occasions, medical devices have a low regulatory threshold in the EU and many other ex-US countries.]

Several other medical device makers, including St Jude Medical Inc and Covidien, are also making devices aimed at treating high blood pressure. These devices work by creating tiny scars along nerves in the kidneys… This scarring process is carried out by threading a catheter through the renal arteries from the groin. It deadens the nerves and decreases blood pressure.

MDT is taking an $800M write-off for this program.