The valve specialist Edwards Lifesciences has made its first business development move since 2017, and it is on a company that does not have a cardiovascular technology. CAS Medical Systems, which Edwards has agreed to buy for $100m, has developed a noninvasive cerebral oximetry technology called Fore-Sight Elite designed to guard against prolonged cerebral hypoxia among patients undergoing a variety of surgical procedures. The two groups have been working to combine the Fore-Sight sensor with Edwards’ HemoSphere haemodynamic monitoring platform. This combined tech is now approved in Europe; in the US Edwards is awaiting 510(k) clearance for a smart cable and accompanying software, which will be the last step allowing the combined system onto the market. Edwards will pay $2.45 cash per share of CAS’s common stock, a 56% premium to yesterday’s close, meaning that the total consideration is nearly five times CAS's forecast 2018 sales.
|CAS Medical Systems|
|Annual sales ($m)|
|Tissue oximetry sensors||19.0||24.6||29.9||35.2||+11%|
|Tissue oximetry monitors & accessories||2.0||2.1||2.6||3.1||+7%|
|Traditional monitoring, including service||0.5||0.5||0.5||0.5||-0%|
|Total company revenues||21.6||27.2||33.0||38.8||+10%|