Northstar Neuroscience Inc., which announced earlier this year it was shutting down, has sold “substantially” all of its noncash assets to St. Jude Medical Inc.
The Seattle biotech (NASDAQ: NSTR) said late last month it completed the asset sale for $2 million to the St. Paul, Minn.-based company. Northstar also said its board approved a $50,000 bonus to President and CEO John Bowers Jr. “in connection with the completion of the sale.”
In May 2006, after its initial public offering raised $112 million, the 10-year-old company said it would make “proprietary technology … designed to deliver targeted electrical stimulation to the outermost layer of the brain, called the cortex, in a process referred to as cortical stimulation.” The technology “is designed to enhance recovery of hand and arm motor function in patients who have suffered a stroke.”
St. Jude Medical (NYSE: STJ) said it acquired Northstar’s intellectual property portfolio, clinical study data, device designs, and manufacturing equipment.