Organon Completes Acquisition of Alydia Health
Merck spinoff builds up Women’s Healthcare assets
Merck (NYSE: MRK) spinoff Organon (NYSE: OGN) has completed its acquisition of Alydia Health. Founded in 2010 and based in Menlo Park, California, Alydia is a Women’s Healthcare medical device firm that centers on the prevention of maternal morbidity and mortality caused by postpartum hemorrhage (PPH) or abnormal postpartum uterine bleeding.
Postpartum hemorrhage is one of the most common complications of birth, requiring pharmacologic treatment in up to 10% of mothers and potentially resulting in an emergency intervention such as a hysterectomy and/or blood transfusions. Organon bought Alydia for $240 million.
Alydia’s Jada System flagship medical device product
Alydia’s Jada® System is designed to promote normal contraction of the uterus and stop excessive bleeding following childbirth. In 2020 the Jada System received 510(k) clearance from the U.S. Food and Drug Administration.
Patients experiencing postpartum hemorrhage increasing. The product is greatly needed, postpartum hemorrhaging is a leading cause of pregnancy-related deaths. Worldwide, about 186,500 women die from PPH annually.
In the United States, about 3% of deliveries involve postpartum hemorrhaging or roughly over 100,000 births annually.
Options to control the hemorrhaging may involve these or other choices:
- Surgical repair of the uterus
- Uterine artery ligation/embolization of the vessel
- Obstetric gauze or device tamponade of uterus or vagina
The Jada System can help clinicians take action sooner to protect their patients at a mission-critical time following childbirth.
Organon is just starting out as a standalone company
June 3rd, 2021 was the first official day of Organon operating fully independently from Merck. Organon is headquartered in Jersey City, New Jersey. Merck provided funding to Organon in March of 2021 to facilitate the acquisition of Alydia.
Merck’s divestiture of assets to form Organon was announced early in 2020. Organon is made up of three product franchises:
- Older legacy products
- Women’s Healthcare
Organon’s investment in Alydia and the Jada System will be greatly welcomed by patients and the OB/GYN medical community.
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