Siemens Healthineers is dashing deeper into surgical robotics, shelling out $1.1 billion in cash to pick up Corindus Vascular Robotics, maker of a minimally invasive platform for coronary, peripheral and neurovascular procedures.
Siemens’ medical solutions subsidiary will acquire all issued and outstanding shares of Corindus’ common stock for $4.28 per share.
The merger—expected to close by the end of the year, subject to approval by Corindus’ shareholders—aims to couple Siemens’ established surgery tools in digital imaging and artificial intelligence with a precision robotics platform for cardiovascular disease.
“The tremendous technology synergies and shared vision between both companies should allow us to achieve a seamless integration between our businesses,” Corindus President and CEO Mark Toland said in a statement. “We believe the transaction will deliver immediate, compelling and certain value to all Corindus stockholders, as well as substantial benefits to our customers.”
Based in Waltham, Massachusetts, Corindus received FDA clearance in March 2018 for new automated surgery software for its CorPath platform, designed to speed up the placement of catheters and guidewires during more complex percutaneous coronary intervention procedures.
“The acquisition of Corindus, combined with Siemens’ strong advanced therapies portfolio will help further advance the growth of vascular robotics,” said Siemens’ advanced therapies president, Michel Therin. “The integration of our technologies could lead to reduced variability, improved efficiency, expanded access to care and ultimately improved patient outcomes.”
The two companies unveiled the news alongside Corindus’ second-quarter earnings report, with its $4.6 million in revenue comprising a 175% increase compared to the $1.7 million raised in the same quarter the year before. That included the sales of six new CorPath GRX systems, as well as one upgrade and two units sold to distributors in Italy and Japan. It also sold 700 of its single-use robotic cassettes used in the procedures, for about $300,000.
In addition, Corindus recently received regulatory approval for a new indication expanding its platform’s use in neurovascular interventions in Australia and New Zealand. Currently, the company counts an installed base of at least 68 systems.