Amsino International Inc., a U.S.-based global medical device manufacturer, completed the acquisition of the assets of MedXL Inc. and Liebel-Flarsheim Canada Inc. (together, “MedXL”) on November 25, 2024, following a court-supervised insolvency and restructuring process. MedXL, headquartered in Pointe-Claire, Québec, is a prominent manufacturer of medical devices and pre-filled syringes, serving clients in the biomedical, pharmaceutical, and hospital sectors across North America and holding product registrations in approximately 60 countries.
MedXL entered Companies’ Creditors Arrangement Act (CCAA) protection on July 26, 2024, after facing severe liquidity challenges stemming from a significant product recall in 2021, which led to a sharp decline in profitability and mounting cash flow issues. At the time of filing, MedXL reported liabilities exceeding $56 million, including about $20 million owed to Private Debt Partners Senior Opportunities Fund LP. The financial strain was exacerbated by suppliers demanding payment upon order and the company’s inability to meet payroll obligations, resulting in a temporary shutdown and widespread layoffs.
The CCAA proceedings were initiated to facilitate an operational restructuring and a Sale and Investment Solicitation Process (SISP), ultimately leading to Amsino’s successful bid for substantially all of MedXL’s assets. These assets included intellectual property, real estate, manufacturing equipment, and global product registrations. The acquisition allows Amsino to expand its North American manufacturing footprint and double its production capacity.
The transaction was supported by a team of legal advisors: Borden Ladner Gervais LLP (BLG) acted for Amsino, Fasken Martineau DuMoulin LLP for MedXL, Stikeman Elliott LLP for the monitor (FTI Consulting Canada Inc.), Gowling WLG for Investissement Québec, and Lavery for Briva Finance.