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 deal calls for a $408 million payment once the deal closes, expected in October, and another $50 million pegged to CE Mark approval in the European Union for the Twelve TMVI device.
“Upon close, this acquisition will strategically augment our existing capabilities in the transcatheter mitral space, which represents an important growth opportunity for Medtronic,” coronary & structural heart president Sean Salmon said in prepared remarks. “We have followed the transcatheter mitral valve space closely and firmly believe that Twelve has the most novel technology along with a strong, proven team. The combined strengths of our organizations will significantly accelerate our ability to deliver an exciting and differentiated therapy to patients, physicians and healthcare systems around the world.”
“Twelve’s technology is a truly creative solution that brings together valve technology with a unique and highly differentiated dual-stent fixation design,” added Twelve president & CEO Andrew Cleeland. “Our acquisition by Medtronic will create a tremendous opportunity to leverage Medtronic’s expertise and proven success in the structural heart space to advance the treatment of mitral regurgitation.”
Medtronic’s principal rival in the replacement heart valve space, Edwards Lifesciences (NYSE:EW), agreed to a $400 million deal to acquire another TMVI firm, CardiAQ Valve Technologies, in July.