In April, Acutus agreed to sell its left-heart access portfolio to Medtronic for $50 million. That portfolio includes the AcQCross line of sheath-compatible septal crossing devices. It also features the AcQGuide Mini, AcQGuide Flex and AcQGuide VUE technologies.
Acutus said in June that it completed the first two closings of its deal to sell the devices to Medtronic. Last month, Acutus completed the first $20 million milestone under its asset purchase agreement with the medtech giant.
Beginning today, Medtronic intends to initiate distributing the products, having provided notice to Acutus of its intentions. Pursuant to the distribution agreement, Acutus ceased all distribution and sales of the left-heart devices to third parties, according to a news release. It now intends to manufacture and supply the products to Medtronic as the exclusive distributor until the second closing of the agreement.
Should the second closing not occur, Acutus and Medtronic plan for their arrangements to continue until terminated by mutual consent or otherwise pursuant to the terms of the agreement.
Details on the Medtronic-Acutus left-heart deal
Medtronic paid $50 million in cash consideration to Acutus at the first closing of their agreement. The deal included intellectual property rights to the left-heart access portfolio. That extends to certain equipment used in the manufacturing of these products, too.
The first major milestone amounted to gross proceeds of $20 million. As of the first milestone payment, Acutus remains eligible for additional milestone payments. These potential payments relate to certain regulatory activities, as well as four years of revenue-based earnouts.
Acutus’ left-heart access portfolio includes its AcQCross line of sheath-compatible septal crossing devices. It also features the AcQGuide Mini integrated crossing device and sheath. Additionally, it includes the AcQGuide Flex steerable introducer with transseptal dilator and needle and the AcQGuide Vue steerable sheath.
