Boston Scientific to acquire Apama Medical for $175M cash up-front
Boston Scientific announced a definitive agreement to acquire Apama Medical, a privately-held company that is developing the Apama Radiofrequency Balloon Catheter System for the treatment of atrial fibrillation. The transaction consists of $175M in cash up-front and a maximum of $125M in contingent payments over the period of 2018-2020 based on achievements of clinical and regulatory milestones. The Apama RF balloon is currently being studied in clinical trials in Europe to serve as the basis for CE mark approval, which is expected in late 2018. Apama is based in Campbell, California, with approximately 40 employees.The acquisition is projected to close during the fourth quarter of 2017, subject to customary closing conditions. On an adjusted basis, the transaction is expected to be immaterial to Boston Scientific adjusted earnings per share for 2017 and 2018. The transition is expected to be more dilutive on a GAAP basis, due to amortization expense, transaction, and integration related costs.