Sun Biomedical has entered an exclusivity deal to negotiate the acquisition or licensing of Parvulus Medical. This was according to a report published by Proactive Investors.

Parvulus owns the medical technology used for a biodegradable heart valve repair surgery device. The company's flagship product, the Parvulus Intra Annular Ring, is the only device approved for pediatric patients. The said device preserves the growth of the tendon in the heart valve. Clinical testing has validated the safety and effectiveness of this technology. Compared to other valve repair options, the use of the product resulted in minimal replacement of the heart valve, the report explained.

There are approximately 158,000 pediatric procedures performed every year. This number would translate into a USD100 million potential market in the Asia Pacific area alone, the report said.

Both companies have agreed to enter an exclusive period starting today until January 15. This period will make way for the completion of technical and legal due diligence on the proposed deal, the report said. The transaction represents an opportunity for Sun Biomedical to enter the therapeutic industry, Proactive Investors added in its report.