
Boston’s deal-making ramps up with Augmenix buy
Boston Scientific has cemented its status as the most acquisitive medtech company of the year with the purchase of Augmenix for $500m up front. The deal is not only Boston’s biggest of 2018 so far, but also its largest since the $1.6bn acquisition of Endo’s American Medical Systems urology portfolio in 2015. Like that earlier purchase, the Augmenix deal is in urology – the company’s CE-marked and FDA-approved SpaceOAR system is designed to prevent rectal radiation in men undergoing radiotherapy for prostate cancer. Boston expects product sales of $80m this year and $90m in 2019. Augmenix marks Boston’s eighth acquisition this year, so after several years' paying off hefty legal fees, it seems that Boston is ready to spend on M&A again. So far, the company has kept to what it knows best: it already leads the urology sector and is the third-biggest player in cardiology, where many of its other 2018 acquisitions have come. It has also stuck to bolt-on deals, in many cases involving companies it already had a stake in. But, with a dearth of mega-deals in medtech so far this year, bankers might be hoping that Boston is ramping up for a bigger purchase.
Boston Scientific's 2018 deals | ||||
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Target | Sector | Deal value ($m) | Existing stake? | Date |
Augmenix | Oncology/urology | $500m up front, $100m milestones | No | Sep 2018 |
Veniti | Cardiology | $108m up front, $52m milestones | Yes | Aug 2018 |
Claret Medical | Cardiology | $220m up front, $50m milestones | No | Jul 2018 |
Cryterion Medical | Cardiology | $202m up front | Yes | Jul 2018 |
Nvision Medical | Women's health | $150m up front, $125m milestones | No | Apr 2018 |
Securus Medical Group | Cardiology | $40m up front, $10m milestones | Yes | Apr 2018 |
Nxthera | Endoscopy/urology | $306m up front, $100m milestones | Yes | Mar 2018 |
Emcision | Endscopy/oncology | Not disclosed | No | Mar 2018 |
Source: EvaluateMedTech. |