Irvine-based Biolase Inc.’s chief executive said he expects what he refers to as the laser device maker’s “transformation” to continue this year.
Jeffrey Nugent, who became Biolase’s boss after the departure of Federico Pignatelli last year, recently discussed “critical changes” that were needed to bring the company out of a period of turmoil.
Biolase spent much of last year declining revenue, a midyear shareholder lawsuit, and other disruptions. Pignatelli departed the chief executive post in June and later left Biolase’s board.
The 23-year Biolase director, who served four years as CEO, has said he left because of a “protracted campaign” by Greenwich, Conn.-based investor Oracle Partners LP and its managing partner, Larry Feinberg, “to disenfranchise independent directors through a series of calculated actions designed to isolate us and reduce our power.”
Nugent said one of the recent changes involved boosting Biolase’s financial resources, including a pair of equity financings.
“We paid off and terminated our credit facilities, strengthened our balance sheet, and at the end of 2014, we had approximately $32 million in cash,” he said in the company’s earnings release this month.
“Second, we listened to our customers. What we heard was that there was room for improvement in product quality and customer service.”
Biolase moved to resolve those issues, as well as doubled the warranty period of its core WaterLase devices.
The third change involved new products. Nugent said those include Epic X, an enhanced laser for soft-tissue procedures, and WaterLase iPlus 2.0, which the company showcased at the Chicago Dental Society’s midwinter meeting late last month.
“Now that we have increased financial resources, improved quality assurance, improved customer orientation, a well-defined strategy and a proactive product development function with clear involvement from our customers, I am confident we will begin to grow again in 2015,” Nugent said.
Separately, Biolase named David Dreyer its chief financial officer, replacing Frederick Furry, who resigned to pursue other opportunities.
Dreyer was previously Irvine-based Patient Safety Technologies Inc.’s chief financial officer. He left after the company was acquired by Kalamazoo, Mich.-based Stryker Corp. for $120 million in late 2013.
Nellix Device
Endologix Inc. is marching toward a potential late 2016 Food and Drug Administration approval of its Nellix device for treating abdominal aortic aneurysms, its chief executive said on a recent conference call.
John McDermott said the Irvine-based medical device maker will expand enrollment in its investigational device exception trial for Nellix.
“Our goal … is to enroll an additional 200 patients this year in the U.S. and begin training our sales and clinical people so they are well prepared for the anticipated launch in late 2016,” McDermott told analysts and investors in late February after Endologix reported its 2014 financial results.
He also talked about Nellix’ performance in Europe.
“We ended 2014 with over 100 centers using Nellix and are encouraged by the adoption and interest from physicians.”
The device maker plans to boost its European sales and clinical team by 26%, or roughly nine positions, by the end of the year, McDermott said. It now has 34 professionals on the team and anticipates that rising to “around 43.”
Endologix introduced Nellix in Europe in 2013 on a limited basis. McDermott said more than 2,500 procedures have been performed with the device.
Bits & Pieces
Irvine-based CombiMatrix Corp. signed a contract with Scottsdale, Ariz.-based Fortified Provider Network for diagnostic laboratory services. … San Clemente-based spinal device maker VertiFlex Inc. said late last month that an FDA panel voted to support a premarket approval application for its Superion Interspinous Spacer. The device is designed to treat severe lumbar spinal stenosis, or curvature of the spine. … Nifty After Fifty, a Garden Grove-based operator of fitness and wellness centers catering to people 50 and older, opened a facility in Laguna Hills near Saddleback Memorial Medical Center, replacing a facility in the nearby community of Laguna Woods. … Saddleback Memorial Medical Center’s diabetes clinic received recognition from the American Diabetes Association for meeting national standards for diabetes self-management education programs. Saddleback said it is the fifth time the center has received the designation.
