ev3 Inc. and Fox Hollow Technologies, Inc. to Merge in Transaction Creating a Global Leader in Endovascular Device Market; $780 Million Cash and Stock Transaction

PLYMOUTH, Minn. & REDWOOD CITY, Calif.--(BUSINESS WIRE)--ev3 Inc. (NASDAQ: EVVV) and FoxHollow Technologies, Inc. (NASDAQ: FOXH) today announced a definitive agreement by which ev3 and FoxHollow will merge in a $780 million cash and stock transaction. The proposed merger would create a new company with a market capitalization of approximately $1.7 billion, based on the companies’ closing stock prices on July 20, 2007. This strategic combination, approved by the Boards of Directors of both companies, will create a global leader in endovascular devices with net sales in 2008 projected to be in the range of $585 to $615 million. The combination also will provide the opportunity for the new company to achieve greater critical mass with significant cost and revenue synergies.