Boston Scientific Expands Cardiology with Acquisition of SoniVie
Deal News | Mar 03, 2025 | Andera Partners
Boston Scientific Corporation has announced a definitive agreement to acquire SoniVie Ltd., a medical device company specializing in ultrasound-based renal denervation therapy for hypertension. The acquisition, valued at $360 million for the 90% of SoniVie not already owned by Boston Scientific, with an additional $180 million contingent upon regulatory milestones, aims to enhance Boston Scientific's Interventional Cardiology Therapies division. The TIVUS Intravascular Ultrasound System is SoniVie's flagship technology, providing a minimally invasive treatment for hypertension by denervating renal nerves. Boston Scientific's strategic investment in SoniVie previously gave it a 10% equity stake in the company, thus mitigating the acquisition costs. The transaction is set to close in the first half of 2025 and is anticipated to be slightly dilutive on an adjusted earnings per share basis in its initial year. The acquisition signals Boston Scientific's commitment to expanding its cardiology portfolio with advanced therapeutic technologies. The deal's completion is subject to customary conditions, and Boston Scientific expects to offset any initial financial dilution through operational efficiencies.
Sectors
- Medical Devices
- Healthcare
- Biopharmaceuticals
Geography
- United States – Boston Scientific is a major US-based corporation leading the acquisition of SoniVie, showcasing the country's involvement in advanced medical technology.
- Israel – SoniVie is an Israeli medical device firm, reflecting the geographical context of this acquisition and highlighting Israel's role in healthcare tech innovation.
Industry
- Medical Devices – The acquisition involves SoniVie, a company that develops medical devices for hypertension treatment, placing the transaction within this industry sector.
- Healthcare – Boston Scientific and SoniVie are integral to healthcare, focusing on innovations in hypertension management and treatment.
- Biopharmaceuticals – The strategic acquisition enhances Boston Scientific's efforts in cutting-edge therapies such as the ultrasound-based renal denervation for cardiovascular improvement.
Financials
- $360 million – Initial cash consideration to acquire 90% of SoniVie not already owned by Boston Scientific.
- $180 million – Additional contingent payment upon achieving a regulatory milestone, emphasizing the potential high-value impact of this transaction.
- $400 million – Total transaction valuation on a 100% basis before accounting for existing equity and other adjustments.
- $200 million – Potential total contingent payment associated with regulatory achievements, underscoring the deliverables linked to the acquisition.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| Boston Scientific Corporation | Bidding Company | Company | A leading medical device company with a strategic interest in advancing cardiovascular health through innovative interventional cardiology therapies. |
| SoniVie Ltd. | Target Company | Company | An Israeli-based private medical device firm known for its TIVUS ultrasound system targeting hypertensive disorders. |
| Andera Partners | Investor | PE Firm | A private equity firm that supports SoniVie, highlighting its role in fostering medical technology innovation. |
| Lance Bates | Senior Vice President and President, Interventional Cardiology Therapies | People | An executive at Boston Scientific emphasizing the strategic implications of this acquisition. |