The US Federal Trade Commission (FTC) has requested for additional information and documentary material from Boston Scientific and BTG on their proposed $4.2bn acquisition deal.
The antitrust regulator is focused on the Boston Scientific and BTG’s therapeutic beads businesses, and the FTC review will see an extension of the waiting period until 30 days after the companies comply with the request.
This request for additional details is part of the Hart-Scott-Rodino Antitrust Improvements Act of 1976, which requires companies to file premerger notifications with the FTC for acquisition clearance in the US.
Commenting on the FTC request, the companies said: “Boston Scientific and BTG intend to respond to the request from the FTC as quickly as practicable and to continue to work cooperatively with the FTC in connection with its review of the transaction.”
Boston Scientific signed an agreement to acquire UK-based BTG for $4.2bn in November last year.
BTG develops and commercialises products for critical care, cancer and other vascular diseases, while Boston Scientific is a medical devices manufacturer.
The acquisition is expected to boost Boston Scientific’s capabilities in areas of unmet need such as cancer and pulmonary embolism.
Boston Scientific chairman and CEO Mike Mahoney said: “We are confident that the addition of these therapies to our portfolio will ultimately advance patient care in ways that could not be realised by either company alone, while also allowing us to realise substantial revenue and cost synergies and provide a strong return for investors.”
The transaction received clearances in Germany and Taiwan, as well as approval from the board of directors of both the companies. BTG shareholders are set to vote on 28 this month.
Furthermore, the deal is subject to other anti-trust clearances and closing condition and is expected to be completed mid this year.
BTG completed an acquisition of Novate Medical last September.
Additional reporting by Charlotte Edwards.