US-based medical device maker St Jude Medical has agreed to acquire Endosense, a Switzerland-based medical technology company that works in the development of catheter ablation for cardiac arrhythmia treatment, in a $331m deal.
With an initial payment of $170m (CHF159m), the terms of the transaction include an additional payment of up to $161m (CHF150m) in cash, following the regulatory approvals within a designated timeframe.
St. Jude Medical cardiovascular and ablation technologies division president Frank J Callaghan noted that the acquisition of Endosense will further strengthen the company's industry-leading portfolio of products to treat patients with cardiac arrhythmias, and provide an opportunity to accelerate market share capture in the $900m global cardiac ablation catheter market.
"This transaction significantly accelerates our timeline to providing an irrigated ablation catheter that incorporates force sensing in both international and US markets, and has potential future applications across other St. Jude Medical technology platforms as well," Callaghan added.
St. Jude Medical believes that the force sensing technology from Endosense will provide a strong, patent-protected platform for future product development.
The company also sees immediate opportunities to integrate this technology into St. Jude Medical products such as EnSite Velocity mapping system.
Endosense's TactiCath is a force-sensing ablation catheter that gives physicians a real-time, objective measure of tip-to-tissue contact force during the catheter ablation procedure.
TactiCath is already approved in Europe for atrial fibrillation (AF) and supra ventricular tachycardia (SVT) ablation and offers an improvement over previous-generation ablation catheters.
Recently, Endosense completed its TOCCASTAR trial and plans to submit its pre-market approval application to the US regulatory agency by the end of the year.