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| Boston Scientific's acquisition of Cameron Health gives it the rights to the company's S-ICD defibrillator--courtesy of Boston Scientific |
Boston Scientific ($BSX) has taken another step toward turning around its flagging CRM unit, closing a $150 million deal for Cameron Health and acquiring that company's S-ICD device.
Boston Sci made its bid for the company back in March, with an eye on Cameron's novel implantable defibrillator. Unlike other ICDs, which run wires through the venous system to regulate heart rhythm, S-ICD is implanted just under the skin, acting like an external defibrillator when it detects cardiac arrest.
The device got its CE mark in 2009 but has yet to secure FDA approval. Boston Sci, however, expects to get S-ICD on the market in the U.S. in the first half of 2013. And the sooner the device is available stateside, the better for Cameron Health. The $150 million price tag was just Boston Sci's closing cost. Under the deal, Cameron is due another $150 million upon FDA approval and up to $1 billion more over 6 years if the device meets certain revenue goals.
S-ICD has already been implanted in 1,300 patients around Europe and New Zealand, and Boston Sci is touting recent trial data in which the device met its primary efficacy and safety endpoints in a study of 330 patients.
Analysts have lauded the deal for Boston Sci, which has experienced lagging sales in its cardiac rhythm management department of late. Back when the deal was announced, reps for Leerink Swann and J.P. Morgan hailed the acquisition, praising Boston Sci for differentiating its cardiac offerings and for the structure of the agreement, The Wall Street Journal reports.
- here's Boston Sci's release
- get background from WSJ