Irvine-based Pegasus Biologics, a venture backed developer of collagen-based bioimplants for orthopedic, spine, and neurosurgery, has been acquired by Synovis Life Technologies, Inc. Synovis said that it has signed a definitive purchase agreement to acquire substantially all of the assets of Pegasus, for $12.1M in cash. The asset buyout came after Pegasus "effectively ceased operations" in May, after failing to raise additional capital for the firm. Pegasus Biologics had raised more than $38M in venture capital and debt for the firm, from investors such as Frazier Healthcare Ventures, ONSET Ventures, and Three Arch Partners. Synovis said that Pegasus had $9.1M in revenues in 2008, and had employed 75. In conjunction with the acquisition, Synovis said it would maintain the manufacturing operations of Pegasus in Irvine.