(By Balaseshan) Boston Scientific Corp. (NYSE:BSX) said it has agreed to buy Minneapolis, Minnesota-based privately-held BridgePoint Medical Inc. for an undisclosed sum.
The transaction is expected to have an immaterial impact on GAAP and adjusted earnings in 2012 and 2013 and be modestly accretive thereafter.
BridgePoint Medical has developed a proprietary, catheter-based system to treat coronary chronic total occlusions (CTOs).
The BridgePoint Medical CTO system is comprised of the CrossBoss CTO Crossing Catheter and the Stingray CTO Re-Entry System, and is designed to navigate highly diseased (occluded) coronary arteries as a means of blood flow restoration.
The system has received both U.S. Food and Drug Administration clearance and CE Mark, and is currently the only crossing and re-entry system cleared in the U.S. for use in coronary CTOs.
"The acquisition of BridgePoint Medical is expected to build upon our rich product portfolio in cardiology and represents an important part of our growth strategy in this critical market," said Hank Kucheman, chief executive officer at Boston Scientific.
CTOs are chronically occluded coronary arteries, typically for 3 months or longer, which prevent blood circulation to critical areas of the heart. CTO devices are designed to permit endovascular treatment in cases that otherwise might require a patient to undergo invasive intervention, such as coronary artery bypass surgery.
The transaction is expected to close in the fourth quarter of 2012 subject to customary closing conditions.
BSX is trading up up 1.22% at $5.82 on Wednesday. The stock has been trading between $4.79 and $6.41 for the past 52 weeks.