Boston Scientific ($BSX) is snatching up Cosman Medical to get its hands on the company’s radiofrequency ablation (RFA) systems to expand its neuromodulation portfolio.
Neither side is revealing financial details, but Cosman Medical’s team and devices will be wrapped into Boston Scientific’s neuromodulation business as a result of the deal, the company said in a statement. Marlborough, MA-based Boston Scientific’s neuromodulation offerings include spinal cord stimulators (SCS) for patients with chronic pain and deep brain stimulation systems for conditions such as Parkinson’s disease and dystonia.
"This acquisition is a natural extension of our current product portfolio and will help us provide physicians and patients more options to address chronic pain with non-opioid therapeutic treatments," Maulik Nanavaty, senior vice president and president of Boston Scientific’s neuromodulation business, said in a statement. "The addition of the Cosman Medical product line, which is built on industry-leading technology and known for its high-quality, expands our capability to provide innovative solutions for the treatment of chronic pain."
The deal comes as physicians look for alternative ways to treat chronic pain. Cosman’s RFA systems apply heat to small areas of nerve tissue to cut off pain signals. The devices are typically used before spinal cord stimulation, which sends electrical signals to the spinal cord to prevent pain signals from reaching the brain.
A deal with Cosman Medical also comes on the heels of change. Boston Scientific recently announced a global restructuring program “to support long-term growth and innovation” after 7 of its businesses posted double-digit organic growth in the first quarter of 2016.
Part of Boston Scientific’s reorganization involves focusing on “developing global commercialization, technology and manufacturing capabilities in key growth markets, continuing implementation of the company's plant network optimization strategy and expanding operational efficiencies,” the company said last month. Beefing up in neuromodulation could play a key role in its transformation.
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