by Gus Iversen
, Editor in Chief | December 15, 2022
Boston Scientific has announced plans to acquire up to 65% of Chinese interventional procedure technology company, Acotec, for approximately $523 million.
In 2016, Acotec launched the first peripheral drug-coated balloons (DCBs) in China, which are used in the treatment of vascular and other diseases, after receiving approval from the National Medical Products Administration. The Acotec portfolio also includes radiofrequency ablation technologies and thrombus aspiration catheters, as well other products in various stages of development across a range of specialties.
In the 12-month period ending June 30, 2022, Acotec generated sales of approximately $53 million, growing 25% year-over-year in the first six months of 2022 with strong double-digit growth in each of the two years prior.
"Acotec is a profitable, fast-growing company with a strong portfolio and innovative pipeline of medical technologies, and we believe this investment will generate growth opportunities for both companies," said Art Butcher, executive vice president and group president, MedSurg and Asia Pacific, Boston Scientific, in a statement. "We expect completion of the partial offer to further strengthen our presence in China and create the potential for commercialization of Acotec products globally, providing an increased number of physicians and patients access to our robust and complementary product portfolios."
Boston Scientific expects the impact to adjusted earnings per share to be immaterial in 2023 and the impact to GAAP earnings per share to be less accretive, or dilutive, as the case may be, due to amortization expense and acquisition-related net charges.
The completion of the transaction, which is anticipated in the first half of 2023, is subject to acceptance and approval by Acotec shareholders and other conditions set forth in related filings.
In November, Boston Scientific entered into a definitive agreement to acquire Apollo Endosurgery for approximately $615 million
; a company with a product portfolio including devices used during endoluminal surgery (ELS) procedures to close gastrointestinal defects, manage gastrointestinal complications and aid in weight loss for patients suffering from obesity.