Covington Associates Acts as Financial Advisor to PocketSonics
in Sale to Analogic
Boston, MA – September 23, 2013 — Covington Associates announced it acted as financial advisor to PocketSonics, Inc., a privately held ultrasound technology firm based in Charlottesville, VA, in its sale to Analogic Corporation (Nasdaq:ALOG).
PocketSonics’ flagship product, the Sonic Window™, an ultra-portable, pocket sized imaging device, with an integrated transducer array and display, will provide both experienced and novice ultrasound users with simple image guidance for challenging vascular access in children, obese, elderly, and other populations. Ancillary uses are numerous, including foreign body detection, initial injury assessment, and more. Analogic, a Peabody, MA based designer and manufacturer of advanced medical imaging and security systems and subsystems sold to OEMs, has held a minority equity position in PocketSonics since 2010 and acquired the remaining equity stake in a deal including an initial cash payment of approximately $11 million.
Aiming to boost its direct sales business in the ultrasound market in the coming years, the PocketSonic transaction marks Analogic’s second ultrasound tech acquisition this year. Benjamin Dunn, Managing Director and lead advisor on the transaction, commented, “PocketSonics provides Analogic with a differentiated platform technology and a strong competitive advantage in the ultra-portable ultrasound market.”
PocketSonics, Inc. was formed in January 2004 by three University of Virginia professors to commercialize technology developed in their laboratories. Development was driven by the clinical need to improve portable ultrasound visualization for vascular access guidance. Bringing together a combination of academic and commercial expertise in Integrated Circuit Design, Electronics, Acoustics & Transducer Design, and Novel Beamforming Algorithms, the team spawned ideas that went contrary to how traditional ultrasound technologies had ever been engineered before. The resulting novel approaches have yielded the Sonic Window™ ultrasound device, as well as the creation of several patents related to this technology. Currently, PocketSonics™ is focused exclusively on developing the Sonic Window™ – a pocket-sized hand-carried ultrasound device with revolutionary features, price points, ease of use, and mass appeal. The Company is headquartered in Charlottesville, VA.
About Covington Associates
Covington Associates is a premier boutique investment banking firm with offices in Boston, Chicago, and New York. Founded in 1991, the vision for Covington Associates has been to provide our clients with the highest caliber of senior-level attention and to remain an advice driven and results focused organization. Covington offers advisory services in the areas of mergers and acquisitions (“M & A”), capital raising, strategic advisory, fairness opinions, valuations and follow-ons to middle-market companies across the Healthcare, Business Services, Consumer & Industrial, and Technology verticals. Covington Associates has completed more than 200 transactions globally for both private and publicly traded companies with compiled transaction value in excess of $15 billion.