Boston Scientific Corporation (Natick, MA, USA) has entered into a definitive agreement to acquire Bard EP, the electrophysiology (EP) business of C.R. Bard (Murray Hill, NJ, USA), for USD 275 million in cash.
The purchase, which is expected to significantly boost Boston Scientific’s expansion in the fast-growing market for advanced EP procedures, provides the company with a range of solutions for cardiac catheter ablations and other EP diagnosis and treatment tools. The addition of Bard EP's strong commercial team and complementary portfolio, including catheter and recording device technologies, would enable Boston Scientific to compete in the global EP market with a stronger and more comprehensive offering. The transaction is expected to close in the second half of 2013, subject to certain regulatory and customary closing conditions.
The C.R. Bard EP division, which will join the Boston Scientific rhythm management unit, is dedicated to the development and delivery of a broad range of devices for the diagnosis and treatment of cardiac arrhythmias. The company offers a full product portfolio, which includes advanced radiofrequency (RF) ablation and mapping catheters, diagnostic catheters, computer-based EP mapping and recording systems, temporary pacing electrodes, and vascular and cardiac access devices.
“We expect this acquisition to accelerate the expansion of our global electrophysiology business and we are pleased to welcome Bard EP to the Boston Scientific team,” said Mike Mahoney, president and CEO of Boston Scientific. “We believe the innovation and global reach that Bard EP delivers will meaningfully advance our position in this fast-growing market, enabling us to more effectively serve the needs of patients who suffer from cardiac arrhythmias.”
“This divestiture is consistent with our strategic plan, which is designed to position our portfolio for accelerated sales growth over time,” said Timothy Ring, chairman and CEO of C. R. Bard. “By exiting the EP business, we believe we can better direct management's attention and our capital resources toward pursuing opportunities where we believe we can achieve sustainable long-term leadership positions and provide attractive growth and returns to shareholders.”
Electrophysiology, a branch of physiology studying the relationship with electric phenomena and bodily processes such as the nervous system, is a USD 2.5 billion global market that is growing at nearly 10% annually.
Boston Scientific Corporation