) recently announced that it has initiated a randomized
controlled study in Japan to evaluate Absorb, its bioresorbable
vascular scaffold (BVS) device, in patients suffering from
coronary artery disease (CAD).
About 400 patients will be enrolled in the study, ABSORB
Japan, that will compare Absorb BVS to the company's Xience
family of metallic drug eluting stents. The primary endpoint of
the study is target lesion failure (TLF) in the first year, which
will test both the safety and efficacy of the device.
Moreover, the trial includes state-of-the-art imaging
techniques which will help to study the impact of treatment with
Absorb in the blood vessel.
Abbott Labs expects to use results from this trial to support
regulatory filings with the Japanese Pharmaceutical and Medical
Devices Agency (PMDA) for gaining approval for the device. We
note that Absorb obtained CE mark in Europe. However, it is not
approved in the US yet.
The vascular business is a core part of Abbott Labs' product
portfolio and generated sales of $742 million in the first
quarter of 2013, down 7.7% from the year-ago period. Of the total
vascular sales, approximately $387 million came from the sale of
drug-eluting stents and the BVS product portfolio.
Abbott Labs is continuously working to boost its vascular
products portfolio and expects to launch several products in the
next five years. The launch of new products should help the
company to combat the decline in vascular sales due to pricing
pressure, in our view.
We remind investors that Abbott Labs became a diversified
medical products company focusing on branded generic
pharmaceutical, medical devices, diagnostic and nutritional
businesses following the separation of its research-based
pharmaceuticals business into a new company,
), in Jan 2013.
The business environment continues to be challenging in 2013
due to austerity measures undertaken by developed markets and
weak economic conditions elsewhere. We believe Abbott Labs'
diversification in varied business lines will enable the company
to counter the challenging business environment and maintain
Abbott Labs currently carries a Zacks Rank #3 (Hold). Right
Baxano Surgical, Inc
) look well placed. Both carry a Zacks Rank #2 (Buy).
ABBVIE INC (ABBV): Free Stock Analysis Report
ABBOTT LABS (ABT): Free Stock Analysis Report
ATRICURE INC (ATRC): Free Stock Analysis
BAXANO SURGICAL (BAXS): Free Stock Analysis
To read this article on Zacks.com click here.