MassDevice

The Medical Device Business Journal — Medical Device News & Articles | MassDevice

Home » Boston Scientific to pay $210m for EndoChoice

Boston Scientific to pay $210m for EndoChoice

By

Boston Scientific acquires EndoChoiceBoston Scientific (NYSE:BSX) said today that it agreed to pay $210 million for EndoChoice (NYSE:GI) and its line of devices for treating gastrointestinal disease.

The $8-per-share offer is slated to close by the end of the year, the companies said. EndoChoice took itself public in June 2015 with an IPO that brought in some $96 million.

“The addition of EndoChoice products and services to our portfolio supports our strategy to provide comprehensive solutions to gastroenterology caregivers and the patients they serve,” Boston Scientific endoscopy president Art Butcher said in prepared remarks. “We expect the acquisition to expand our leadership into new categories in the endoscopy market, and to drive strong, continued growth of our endoscopy business.”

“The combination of our broad portfolio of products and services for the gastroenterology physician, with the complementary products and large global infrastructure of the Boston Scientific endoscopy business, creates an enhanced growth platform for both businesses, and delivers immediate value for our shareholders,” added EndoChoice founder & CEO Mark Gilreath.

Boston Scientific said it expects the deal to be neutral to adjusted earnings per share next year and accretive after that. Alpharetta, Ga.-based EndoChoice put up sales of $75 million during the 12 months ended June 30.

Marlborough, Mass.-based Boston said it will announce its strategic plans for EndoChoice’s Fuse full-spectrum endoscope, which features 3 small cameras designed to provide a 330° view; the company claims that’s nearly double the range of typical colonoscopy devices. Fuse won FDA 510(k) clearance in the U.S. in June 2013. EndoChoice also makes the Fuse gastroscope, which has 2 cameras designed to expand the field of view from 150° with standard gastroscopes to 245°.

The news sent GI shares soaring some 88.9% in pre-market trading today, to $7.97 per share.

In case you missed it

RSS From Medical Design & Outsourcing

  • Pharma’s been slow to adopt Industry 4.0 — but that could change
    The pharma industry has been relatively slow to embrace concepts such as Industry 4.0, but COVID-19 is serving as a catalyst for sweeping changes within the industry. The philosophy has roots in a German framework that prioritizes digitization to drive manufacturing efficiency, promising that cyber-physical systems will usher in the next industrial revolution. The Industry… […]
  • Ambu single-use endoscope wins Frost & Sullivan innovation award
    Frost & Sullivan today announced that it awarded Ambu with a 2021 Global New Product Innovation Award. Ambu received the award for its single-use flexible endoscopes that are designed to make the devices safe, affordable and accessible. It has aView and aBox all-in-one video displays that eliminate the traditional video endoscopy tower size and expense to be… […]
  • Could this hydrogel repair a broken heart?
    European researchers have developed an injectable hydrogel that could help repair and prevent further heart muscle damage after a heart attack. The therapeutic effect of multiple injections of this hydrogel into the cardiac tissue was assessed during the first preclinical study of its kind, demonstrating its efficacy for cardiac tissue remodeling following a heart attack,… […]
  • How EtO plants can avoid lawsuits, cope with stricter regulation
    If EtO industry actors take certain targeted steps now, they can minimize legal exposure, more efficiently manage litigation and be better situated for compliance once new federal regulations are established. Karen Cullinane, Goldberg Segalla The use of ethylene oxide (EtO) to sterilize medical devices came under renewed scrutiny after the Environmental Protection Agency concluded in… […]
  • FDA authorizes Q-Collar to help protect athletes’ brains
    The FDA announced today that it authorized the Q-Collar made by Q30 Sports Science for protecting the brain during sports activities. Q30 Sports Science’s Q-Collar is a C-shaped collar worn around the neck designed to apply compressive force to the neck and increase blood volume to help reduce movement of the brain within the cranial… […]
  • The top 7 medtech CEO quotes on COVID-19, one year later
    The latest earnings season has provided insights into the future of medtech in the COVID-19 landscape and what certain sectors are seeing as vaccines start to roll out. Since the start of the pandemic, 113.1 million COVID-19 cases have been reported worldwide, according to Johns Hopkins University School of Medicine. The U.S. leads the world… […]
  • Pfizer wins FDA nod to store COVID vaccine at normal freezer temps
    The FDA announced today that it is allowing undiluted, frozen vials of the Pfizer-BioNTech COVID-19 vaccine to be transported and stored for up to two weeks at conventional temperatures commonly found in pharmaceutical freezers. The decision should allow for wider distribution of the vaccine to sites that do not have ultra-low temperature freezers. Pfizer asked… […]
  • 8 drug delivery innovations you need to know
    The drug delivery space has seen plenty of innovation over the years, and there are no signs of that slowing down any time soon. Improvements upon established technologies like insulin delivery devices and inhalers have been presented by some, while others have unlocked new ways of delivering drugs through a variety of means. Among the… […]
  • Hoffer Plastics gains MedAccred certification again
    Injection molding company Hoffer Plastics (South Elgin, Ill.) announced that it has received the MedAccred re-certification from not-for-profit medtech audit provider MedAccred. MedAccred is a supply-chain oversight program of the Performance Review Institute. It conducts critical-process audits for its member OEMs to ensure their suppliers adhere to global regulations and requirements, and helps reduce the number… […]
  • UK passes post-Brexit medical device regulation
    The U.K. has enacted a new law governing medical devices and drugs, with a focus on patient safety. The Medicines and Medical Devices Act, introduced in July 2020, establishes the position of commissioner for patient safety to respond to public and patient complaints and concerns about drugs and medical devices. The law was necessitated by… […]
  • Integrated Polymer Solutions acquires IRP Group
    Integrated Polymer Solutions (“IPS”), a portfolio company of Arcline Investment Management, announced this week that it has acquired IRP Group. IRP designs and manufacturers elastomeric sealing components from its facilities in Southern California. Founded in 1999, the company is focused on the Class I and II medical device market as well as the aerospace &… […]