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Boston Scientific announced that it will acquire British rival BTG for £3.3 billion ($4.2 billion) on Tuesday.
‘The acquisition of BTG and its rapidly growing peripheral interventional portfolio is an exciting extension of our category leadership strategy that will augment our capabilities in important areas of unmet need such as cancer and pulmonary embolism,’ Chairman and CEO of Boston Scientific Mike Mahoney said.
‘We are confident that the addition of these therapies to our portfolio will ultimately advance patient care in ways that could not be realized by either company alone, while also allowing us to realize substantial revenue and cost synergies and provide a strong return for investors,’ he added.
Boston Scientific boosts tech offering
UK-based BTG develops commercial medical tech products that are used in a variety of minimally-invasive surgeries that target cancer and vascular diseases, as well as acute care drugs.
The acquisition by Boston Scientific will see it expand its already large array of medical devices that includes stents, which open damaged blood vessels and reduce the chance of a heart attack or stroke occurring.
‘Boston Scientific shares our commitment to transforming patient care, and has a sustained track record of innovation, clinical expertise and global commercial capabilities,’ CEO of BTG Dame Louise Makin said.
‘The combined organization will be well positioned for success, enabling our valuable products to make a real difference to more people around the world,’ she added.
BTG biggest deal since 2005
BTG shareholders will receive a cash consideration of £8.40 a share, with the deal expected to close in the first half of 2019, subject to regulatory and BTG shareholder approval.
Boston Scientific’s offer represents a 50% premium on BTG’s share price and it the biggest deal the medical device manufacturer has made since it acquired rival Guidant back in 2005 in a deal valued at around $25 billion.
Barclays and Shearman & Sterling are acting as financial and legal advisors on behalf of Boston Scientific.
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