Galil Medical Sues HealthTronics Over Alleged Merger Agreement Interference

Galil Medical Ltd. has filed a lawsuit against HealthTronics Inc., asking the court to stop HealthTronics from interfering with a merger agreement between Galil and Endocare Inc.

Yokneam, Israel-based Galil Medical, a global cryotherapy company, wants HealthTronics, a urological services and products provider headquartered in Austin, Texas, to pay damages.

In the suit, Galil alleges Healthtronics helped Irvine-Calif.-based Endocare, which makes minimally invasive medical devices, in its recent attempt to terminate the Galil/Endocare merger agreement so that HealthTronics could then acquire Endocare.

The suit against HealthTronics follows Galil’s recently-filed lawsuit against Endocare, which also arose out of Endocare’s alleged breach of the Galil/Endocare merger agreement. A trial is scheduled for July 9 and 10 in Chancery Court in Georgetown, Del.

HealthTronics agreed earlier this month to buy Endocare in a deal worth about $1.35 a share.