Chris Groppa was tapped to serve as reimbursement director and chief marketing officer at TranS1, a medtech firm that markets, designs and creates devices intended for degenerative spinal disorders. Groppa previously worked for IBM and the Blue Cross Blue Shield Association.
TranS1 has agreed to pay cash and company stock, plus $3 million in debt refinancing, to acquire Baxano in a deal set to be completed in the second quarter. Baxano, which develops the iO-Flex technology used in standard spinal decompression procedures, complements TranS1's mission to provide devices for treating degenerative spinal disease.
TranS1 said in a regulatory filing that it has received a subpoena from HHS asking for documents from Jan. 1, 2008 to Oct. 6, 2011 as part of the federal agency's investigation of false claims and medical fraud allegedly made by the company. Trans1 reported that it "is cooperating with the government's request and is in the process of responding to the subpoena," adding, "No claims have been made against the company at this time."
TranS1, a maker of devices used in spinal fusion procedures, has opened a new office in Wilmington, N.C., as part of its expansion. The 32,000-square-foot facility provides space for the company's administrative, warehouse and research-and-development operations.