Boston Sci Buys Atritech for Up to $375M
Boston Scientific Corporation announced on Wednesday that it has agreed to purchase Plymouth-based medical technology company Atritech, Inc.
Under the terms of the transaction, Natick, Massachusetts-based Boston Scientific will provide an upfront payment of $100 million-plus potential additional payments of up to $275 million pending the achievement of certain revenue and regulatory milestones through 2015.
Atritech, a privately held company, has developed a device called the Watchman Left Atrial Appendage Closure Technology, which is used to treat patients with atrial fibrillation-a condition that causes blood clots in the heart, which can lead to a stroke. The device is an alternative to drugs, which Boston Scientific says are associated with an increased risk of bleeding. The Watchman is currently in a study designed to gain approval by the U.S. Food and Drug Administration, and it was commercialized outside of the United States in 2009.
Boston Scientific said that the upfront payment will be made with cash on hand. The med-tech giant expects the deal to be slightly dilutive to its earnings per share in 2011, 2012, and 2013, but accretive thereafter.
The transaction is expected to close during the first quarter of 2011. A Wednesday call to Boston Scientific seeking further details was not immediately returned.
“The acquisition of Atritech reinforces Boston Scientific's continued commitment to providing the broadest portfolio of less-invasive devices across the continuum of cardiovascular care,” Hank Kucheman, president of Boston Scientific's cardiology, rhythm, and vascular group, said in a statement.