Boston Scientific Corporation (NYSE: BSX), a leading innovator in medical devices, has announced a definitive agreement to acquire all outstanding shares of Silk Road Medical Inc. (NSDQ: SILK) for a purchase price of USD 27.5 per share in cash. This transaction, with an overall value of USD 1.16 billion, is anticipated to be finalized in the second half of 2024.
Silk Road Medical is recognized for its pioneering platform of products designed to prevent stroke in patients suffering from carotid artery disease. The company’s flagship procedure, transcarotid artery revascularization (TCAR), has been a game-changer since receiving its first marketing approval in the U.S. in 2015. With a forecasted net revenue of USD 194-198 million for 2024, Silk Road Medical is on track for a robust 10% to 12% year-on-year growth.
This strategic acquisition is expected to be immediately accretive to Boston Scientific’s adjusted earnings per share, excluding intangible asset amortization, and is poised to strengthen the company’s vascular surgery and neurovascular portfolios. The addition of Silk Road Medical’s innovative TCAR technology to Boston Scientific’s existing product lineup will create a comprehensive solution set for physicians treating carotid artery disease.
Boston Scientific’s acquisition of Silk Road Medical reflects the company’s ongoing commitment to investing in breakthrough technologies that address significant unmet medical needs. The transaction is subject to customary closing conditions, including regulatory approvals and the tender of a majority of the outstanding shares of Silk Road Medical.
This acquisition is likely to reshape the landscape of stroke prevention and treatment, offering new hope to the millions of patients at risk of stroke due to carotid artery disease. It also underscores the ongoing consolidation and expansion within the medical device industry, as companies like Boston Scientific seek to enhance their market presence and product offerings through strategic acquisitions.- Flcube.com
