LUMENIS BEGINS DIRECT SALES AND SERVICE OF AESTHETIC PRODUCTS IN SOUTHERN U.S.

Laser and light-based medical devices company Lumenis has announced an agreement with Eclipse Medical, its distributor for aesthetic products in four states in the South Central U.S.

Lumenis will immediately commence direct sales and service operations in Eclipse's former region, which comprises Texas, Louisiana, Oklahoma and Arkansas.

The agreement provides for a purchase of the distribution business and resolution of both parties' claims for a total purchase price of $3 million. The purchase price will be paid through the forgiveness of a loan due Lumenis from Eclipse with principal and accrued but unpaid interest aggregating approximately $1.28 million; $650,000 in cash will be paid on Jan. 31, and the balance of approximately $1.07 million will be paid over six quarters, with the first installment commencing on April 30.