Medtronic (NYSE:MDT) said today it closed its $458 million purchase of transcatheter mitral valve replacement device developer Twelve Inc.
Medtronic will pay $408 million for the developer and another $50 million pegged to CE Mark approval in the European Union for the Twelve TMVR device, the company said.
“This acquisition supports Medtronic’s therapy innovation strategy, as TMVR represents an important growth opportunity for our business. We look forward to welcoming the Twelve team to Medtronic to help deliver an exciting and differentiated therapy to patients,” coronary & structural heart prez Sean Salmon said in a press release.
Twelve, a spinout from the Foundry incubator that’s based in Redwood City, Calif., is backed by Domain Associates, Versant Ventures, Morgenthaler Ventures, Longitude Capital, Emergent Medical Partners, Vertex Venture Management, and Capital Group, Fridley, Minn.-based Medtronic said.
The medical giant 1st announced the acquisiton of the TMVR developer in August after CEO Omar Ishrak said earlier in June that it was looking for small-scale investments, which it has spent $1.05 billion on since the proclamation.
The buy will keep Medtronic on par with its principal rival in the replacement heart valve space, Edwards Lifesciences (NYSE:EW), who agreed to a $400 million deal to acquire another TMVI firm, CardiAQ Valve Technologies, in July.