ISG and Carl Zeiss finalize joint venture

Acquisition will expand DI’s coverage in Texas

ISG Technologies and optics firm Carl Zeiss have formalized their joint-venture agreement to form Surgical Navigation Specialists (SNS), an image-guided surgery company (SCAN 7/22/98). ISG holds an 80% share in the company, which was formed to produce and market ISG’s Windows NT-based image-guided surgery software for the Surgical Navigation Network, a group of medical equipment firms that sell the software.

ISG, of Mississauga, Ontario, will contribute its image-guided surgery technology and assets, as well as its existing sales, marketing, and engineering staff. Thornwood, NY-based Zeiss will contribute technology, working capital, and marketing resources, according to the two firms

In other ISG news, the company moved into the black in its 1998 fiscal year. For the period (end-June), the company had net income of $327,000 (U.S.) compared with a net loss of $2.1 million last year. The company also saw its revenues climb 17% to a record high of $23.7 million during the campaign. Revenues in fiscal year 1997 were $20.2 million.

The company also had a strong fourth quarter. For the period, revenue was $6.6 million, up 12.1% compared with the $5.9 million in sales reported in the same period last year. Net income was $131,000 compared with a profit of $66,000 in 1997.