LivaNova has entered into an agreement to acquire TandemLife, a privately held company focused on advanced cardiopulmonary temporary support solutions. A press release reports that the Pittsburgh-based company offers four product systems, all built around a common pump and controller.
It adds that these systems—including the extracorporeal life support and percutaneous mechanical circulatory support systems—are complementary to LivaNova’s strong offerings in cardiac surgery.
LivaNova has agreed to pay up to US$250 million for TandemLife. Upfront costs total US$200 million, with up to US$50 million in contingent considerations based on regulatory milestones. The deal is projected to be modestly accretive in 2018 and is expected to close in the first half of 2018 (subject to approvals and other customary closing conditions).
With the TandemLife portfolio, hospitals can deploy a versatile platform consisting of a single pump and controller upon which all of the company’s products operate. This simple platform creates ease of use for clinicians and offers mobility for patients. Each TandemLife system may include a pump, an oxygenator and cannulae for comprehensive, acute cardiac, pulmonary or cardiopulmonary care. The TandemLife system provides cardiopulmonary support through veno-arterial extracorporeal life support. For patients experiencing respiratory dysfunction, TandemLung provides pulmonary support through veno-venous extracorporeal life support. ProtekDuo and TandemHeart provide advanced percutaneous mechanical circulatory support for right heart support and left heart support, respectively.
Damien McDonald, LivaNova’s CEO, comments: “We are pleased to enhance our cardiac surgery product offerings with TandemLife’s complete portfolio of advanced cardiopulmonary support products. Use of extracorporeal life support and percutaneous mechanical circulatory support systems is on the rise, and technological advancements have made products easier to use and more efficacious, leading to growth in the number of hospitals capable of performing these advanced procedures. We will leverage our customer base and global infrastructure to increase penetration in the USA and to expand geographically.”
Since inception in 1996, TandemLife products have been used in more than 5,000 patient cases. TandemLife is currently maintaining a multicentre clinical registry and is sponsoring studies for its main indications.