Medtronic (NYSE:MDT) yesterday said it agreed to pay $150 million to acquire Medina Medical and its embolization coil for treating brain aneurysms.
The Medina device is a self-expanding mesh designed to fill the inside of an aneurysm. Menlo Park, Calif.-based Medina won CE Mark approval in the European Union for the device in September 2014, a month after naming ex-Foundry partner Erik Engelson to be its new CEO. Back in October 2012, the company raised more than $6.5 million in an equity offering that aimed to raise $9.5 million.
Medtronic said it already owned a stake in Medina, meaning a pre-tax gain for its 2nd-quarter 2016 balance sheet. The deal includes an up-front payment of $150 million plus milestones pegged to unspecified events. Additional terms were not disclosed.
“Medtronic is committed to fighting stroke through the innovative therapies we bring to clinicians and patients. Medina Medical’s breakthrough technology makes it a natural fit with our Neurovascular portfolio, further strengthening our hemorrhagic stroke portfolio,” neurovascular president Brett Wall said in prepared remarks. “The Medina embolization device features advanced technology to treat cerebral aneurysms that we think can 1 day disrupt the coil market.”
“This acquisition offers Medina Medical a unique opportunity to bring together our breakthrough technologies with Medtronic’s leading clinical, regulatory, market development, and commercial expertise,” Engelson added. “We look forward to working closely with Medtronic to provide expanded access and economic efficiencies to our clinical partners in fighting stroke – particularly aneurysms and hemorrhagic stroke.”
