Abiomed, a medical device manufacturer based in Danvers, Massachusetts, experienced a two percent boost in share prices after the Centers for Medicare & Medicaid Services approved the company’s Impella heart pumps with three reimbursement codes. However, this small increase on Friday follows a 31.3 percent drop in share prices on Thursday.
On Thursday, prices of Abiomed dropped 31.3 percent in response to an investigation by the US Attorney’s Office for the District of Columbia. According to news sources, the investigation stems from improper labeling and marketing for the company’s Impella 2.5 implantable heart system.
According to a press release, the three new Medicare codes have a total value of $833 per patient. The Medicare codes apply to the surgical insertion of Impella devices, repositioning and the device removal. In prepared remarks, CEO and president Michael Minogue stated, "Physicians now have a standardized process for receiving payment for their procedures utilizing Impella." He continued, "These new category 1 CPT codes are a major milestone for Abiomed and the clinical community."