LivaNova (NSDQ:LIVN) said today it inked a deal to acquire cardiopulmonary temporary support solutions developer TandemLife in a deal worth up to $250 million.
LivaNova said it will pay up to $250 million for TandemLife, with a total of $200 million in upfront costs and up to $50 million in contingent considerations based on regulatory milestones.
London-based LivaNova said the buy is expected to be moderately accretive this year, with an expected closure date in the first half of this year.
“The TandemLife systems allow hospitals to offer a comprehensive platform, which controls costs without sacrificing quality of care. These product offerings will enrich LivaNova’s cardiopulmonary temporary support capabilities,” LivaNova cardiac surgery biz GM Alistair Simpson said in a press release.
Pittsburgh-based TandemLife produces four product systems, including the ExtraCorporeal Life Support and Percutaneous Mechanical Circulatory Support systems, which are all built around a common pump and controller.
LivaNova said that the acquired properties will be complimentary to its own cardiac surgery offerings.
“We are pleased to enhance our cardiac surgery product offerings with TandemLife’s complete portfolio of advanced cardiopulmonary support products. Use of ECLS and pMCS systems is on the rise, and technological advancements have made products easier to use and more efficacious, leading to growth in the number of hospitals capable of performing these advanced procedures. We will leverage our customer base and global infrastructure to increase penetration in the U.S. and to expand geographically,” LivaNova CEO Damien McDonald said in a prepared statement.
The TandemLife systems include pumps, oxygenators and cannulae for comprehensive, acute cardiac, pulmonary or cardiopulmonary care to provide cardiopulmonary support through veno-arterial extracorporeal life support.
“We have a history of delivering significant capabilities and benefits to save and improve the lives of critically ill patients. We look forward to continuing to develop simple and effective life support solutions as LivaNova,” TandemLife prez & CEO John Marous said in a prepared release.
Earlier this month, LivaNova said it won CE Mark approval in the European Union for its PureFlex line of adult arterial cannulae.
