Boston Scientific announced the completion of its acquisition of Atritech of Plymouth, Minnesota, USA. The completion of the transaction follows the signing of a definitive merger agreement announced on 19 January 2011.
Atritech’s Watchman Left Atrial Appendage Closure Technology gives Boston Scientific an innovative product designed for atrial fibrillation patients with high stroke risk. The Watchman device is designed to close the left atrial appendage, thereby preventing clots within the appendage from being dislodged into circulation.
Atritech has completed PROTECT-AF, an 800-patient randomised clinical trial of its Watchman device that demonstrated a 38% relative risk reduction for stroke, cardiovascular death and systemic embolism compared to long-term warfarin therapy. Atritech is currently enrolling patients in the PREVAIL trial, a confirmatory study designed to gain FDA approval. The Watchman is CE Marked and was commercialised outside the United States in 2009.
“The Atritech acquisition significantly strengthens our product offerings in the fast-growing areas of structural heart therapy and atrial fibrillation, which represent two of our priority growth initiatives,” said Ray Elliott, president and chief executive officer of Boston Scientific. “Left atrial appendage closure represents a significant growth opportunity for Boston Scientific, and Atritech’s Watchman device is the first such product for atrial fibrillation patients at high risk for stroke.”
Under the acquisition agreement, Boston Scientific purchased all outstanding Atritech shares for a total of US$100 million. Additional payments of up to US$275 million are contingent upon achievement of specified regulatory and revenue-based criteria through 2015. The company expects the transaction to be approximately one to two cents dilutive to earnings per share on a GAAP basis in 2011, 2012 and 2013, and accretive thereafter; on an adjusted basis, the transaction is expected to be approximately one cent dilutive to earnings per share in 2011 and 2012, and accretive thereafter.
The Watchman is an investigational device, limited by applicable law to investigational use only and not available for sale in the USA.