On Thursday, the Boston Scientific Corp has stated that in a move which is aimed at the expansion of its heart portfolio, the company has exercised its option so as to acquire the remaining shares of Millipede Inc which is privately held.
This particular deal will therefore provide the company with a system and technology called the “IRIS Transcatheter Annuloplasty Ring System.”
This system is used in the development for the treatment of the patients who are suffering from a severe case of mitral regurgitation which is abbreviated as MR.
These patients therefore fail to tolerate surgery which is open heart type.
MR which is the abbreviation of Mitral Regurgitation is a disorder in which a valve which is leaking fails to close in the proper manner like it should.
This in turn allows back-flow of certain amount of blood which therefore falls back into the left side of the atria.
If this situation is left untreated then the disorder might lead to heart failure which is also known as arrhythmia as was stated by the clinic.
By the year 2021, the market for the repair and replacement of the mitral valve is expected to reach $1 billion.
The initial investment of the Boston Scientific in Millipede was by the purchase of existing as well as the new shares for a worth of $90 million.
This came with an option that the rest will be acquired for $325 million. This was with a milestone of $125 million as payment which is due upon reaching certain goals that are commercial.
Recently Millipede has also completed an in-human clinical study which is a first.
The closure of the deal is expected to take place in the first quarter of the current fiscal year and will be dilutive for the adjustment of the earnings per share for the next few years.
Source: Market Watch, Crypto Money News
