Bad news for employees of Medtronic's ($MDT) Ventor Technologies. The device giant is shuttering the unit's doors in Netanya, Israel, and transferring its R&D activity to other sites. Fifty-five employees will lose their jobs as a result of the decision.
Medtronic bought the company, which developed minimally invasive replacement aortic valves, for $325 million three years ago. At the time, Medtronic said it planned on making Ventor into a "significant R&D center," Israel21c reported. It's now closing Ventor because it has wrapped up the prep work and patient recruitment for a trial geared toward gaining CE Mark certification of the bioprosthesis aorta valves, Globes notes.
Employees will receive benefits due to them by law, as well as job-placement services. After this process is complete, Medtronic will shutter the facility.
Interestingly, the news comes a couple of months after CEO Omar Ishrak visited Israel. The company reportedly sees the country as an innovative device cluster and important to its future, MedCity News reported at the time. In fact, it has made a number of acquisitions and investments in the country.
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