The Galway operations of the US medical technology company, C.R. Bard, have been acquired by a competitor, Arterial Vascular Engineering (AVE), as part of a deal worth $600 million. The deal involves the sale of all of Bard's coronary catheter business, including an operation in Massachusetts, and which altogether had a turnover of about $215 million in 1997.

The Galway operation, established in Ballybrit in 1982, employs over 900 people. Staff have been assured that their employment is secure and numbers are expected to increase to 1,100 if a £30.5 million IDA-assisted investment announced last February is followed through.

The company, now known as AVE Ireland, manufactures less-invasive micro-surgical equipment, increasingly becoming a part of standard medical procedure.

According to Mr Sean Silke, director of human resources at C.R. Bard Galway, the procedure is much less expensive than coronary bypass surgery, and less traumatic, with consequent faster recovery times and patient turnover rates.

AVE's chief executive, Mr Scott Solano, said the acquisition would strengthen its leadership position in the market for cardiovascular disease treatment systems.

AVE is expected to lead quarterly profit growth for the medical technology sector with a huge gain, reflecting major product launches in the past 10 months.