Boston Scientific reaches agreement to acquire BTG

Boston Scientific announced it has reached an agreement regarding a recommended offer to acquire BTG plc, which develops and makes products to treat patients with vascular diseases and cancer, in addition to acute care pharmaceuticals.

Among BTG’s products are those used to treat pulmonary embolism, deep vein thrombosis and peripheral artery disease.

Both companies’ boards of directors unanimously approved the transaction, which details that those who hold BTG’s common shares would receive 840 pence per share; the total cash consideration is approximately $4.2 billion for 100% of BTG’s equity, according to a press release from Boston Scientific.

“We are confident that the addition of these therapies to our portfolio will ultimately advance patient care in ways that could not be realized by either company alone, while also allowing us to realize substantial revenue and cost synergies and provide a strong return for investors,” Michael Mahoney, chairman and CEO for Boston Scientific, said in the release.

The largest of BTG’s three key businesses involves interventional medicine, which includes peripheral interventional product lines and an endovascular system (EKOS, BTG) to break down clots in patients with pulmonary emboli, peripheral arterial occlusions and deep vein thrombosis. The endovascular system was the first to be cleared by the FDA for the treatment of patients with PE. Other products include crossing catheters, filters and microfoam.

The interventional medicine business also developed radiotherapy microspheres (TheraSphere Y-90, BTG), and a cryoablation system (Galil, BTG) for the treatment of patients with kidney, liver and other cancers.

BTG’s other businesses are a pharmaceutical division focusing on acute-care antidotes and a licensing operation.

“Boston Scientific shares our commitment to transforming patient care and has a sustained track record of innovation, clinical expertise and global commercial capabilities,” Dame Louise Makin, CEO of BTG, said in the press release. “The combined organization will be well-positioned for success, enabling our valuable products to make a real difference to more people around the world.”

An English court-sanctioned scheme of arrangement will carry out the transaction, which is expected to close within the first half of 2019, according to the release. The transaction is subject to the approval of BTG’s shareholders, the U.K. court and receipt of required regulatory approvals.

Disclosures: Mahoney is an employee of Boston Scientific. Makin is an employee of BTG.