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Kensey Nash Announces Agreement to Acquire Rights to OsseoFit Product
Date:8/7/2009

EXTON, Pa., Aug. 7 /PRNewswire/ -- Kensey Nash Corporation today announced an agreement whereby the Company will re-acquire the distribution rights, along with the trademark, inventory and other assets associated with the OsseoFit Bone Void Filler product line. Under the terms of the agreement, the Company and Biomet Sports Medicine agreed to terminate their existing OsseoFit distribution agreement. Pursuant to the agreement, following a brief transition period, Biomet will return distribution rights for the OsseoFit Bone Void Filler product line to Kensey Nash, including rights to future applications or indications for the technology. Kensey Nash will have, exclusive worldwide rights to the OsseoFit Bone Void Filler product line, as well as future extensions of the technology including cartilage repair.

"The OsseoFit bone void filler is an important component of our future cartilage repair business," commented Joe Kaufmann, President and CEO. "This transaction will allow us to explore a broader number of strategic alternatives with respect to the development and commercialization of our Cartilage Repair Device," he concluded.

The Company has previously announced that it had submitted an Investigational Device Exemption (IDE) application to the U.S. Food and Drug Administration (FDA) to study the use of the Company's unique biomaterials technology for treating articular cartilage defects of the knee. The clinical trial, which is expected to start later this year, will utilize the Company's Cartilage Repair Device, which consists of a proprietary bi-phasic, bioresorbable implant designed to treat chondral lesions. The Company recently submitted a design dossier for CE Mark approval for its cartilage repair device; approval is expected at the end of 2009.

About Kensey Nash Corporation. Kensey Nash Corporation is a leading medical technology company providing innovative solutions and te
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