MOSCOW - June 1, 2016 - Medtronic plc (NYSE: MDT), the global leader in medical technology, and Renova, Russia’s leading private business group in a variety of high tech sectors, today announced the completion of a joint venture called Stentex, focused on increasing access to world-class medical devices for the treatment of acute coronary syndrome in Russia and bringing the domestic medical technology industry to a new level.
Stentex is establishing a manufacturing and distribution facility in Russia, with total area of 11 000 sq. m. (approximately 118,000 square feet). The company will produce high-quality coronary stents and balloon catheters with proven clinical efficacy, using the technology of world leader Medtronic.
The company will become the largest Russian enterprise in the medical industry, creating about 700 jobs in the high technology sector of the medical industry. The facility, based near Moscow, will have capability to support hundreds of thousands of coronary interventions a year, with the opportunity to save the lives of many Russian patients, and improving mortality rates in Russia. The investment in the manufacturing and distribution facility is estimated at 9 billion rubles (approx. $135 million USD).
The localization of production involves the staged transfer of key manufacturing technologies, including assembly of stent systems and balloon catheters, as well as manufacturing and assembly of bare metal and drug eluting stents. Medtronic’s quality control system is being completely localized along with the manufacturing technologies.
Coronary artery disease is the leading cause of death in Russia, claiming about 500,000 lives annually, with acute coronary syndrome (myocardial infarction and unstable angina) making up a substantial share of this number. Survival rates for acute coronary syndrome patients in particular can be improved significantly with better access to appropriate treatment — namely, coronary stents and catheters.
For Renova, Stentex represents an investment with benefits in both business and healthcare system advancement. The introduction of Stentex will increase the availability of world-class products with proven clinical efficacy in Russia, allowing Russian doctors to save the lives of many patients and restore their quality of life. Stentex will become the largest localization project in the field of medical technology.
Consistent with our Mission and unique ability to transform healthcare, Medtronic entered into this joint venture to address a serious health issue in Russia. This joint venture is directly aligned with our strategic focus on globalization. Russia is one of the fastest-growing emerging markets with great potential and we are proud to be advancing therapy solutions that will aid in combating cardiovascular diseases and saving lives of Russian patients.
Any forward-looking statements are subject to risks and uncertainties such as those described in Medtronic's periodic reports on file with the Securities and Exchange Commission. Actual results may differ materially from anticipated results.