Dive Brief:
- Medtronic said Tuesday it agreed to acquire neurovascular technology company Scientia Vascular for $550 million, with the potential for undisclosed milestone payments after the acquisition.
- Scientia’s neurovascular access devices are used to navigate the brain’s complex vasculature to treat conditions such as strokes and aneurysms.
- The Scientia proposal is Medtronic’s second deal of the year, after the company announced an acquisition of CathWorks for up to $585 million in February.
Dive Insight:
Privately held Scientia was founded in 2007 by John Lippert, its current chief technology officer. The company has developed a microfabrication technology to help address challenges in navigating the cerebral vascular system that can make it difficult for physicians to reach the site of an occlusion or aneurysm.
In 2013, Scientia moved from Reno, Nevada, to Salt Lake City, Utah, where it now employs about 310 people. Its first guidewire received Food and Drug Administration clearance five years later. Healthcare investment firm Vivo Capital provided $50 million in equity financing to Scientia in 2021.
Medtronic said Scientia’s technologies enable faster and more reliable navigation in neurovascular procedures. The acquisition builds a foundation to support procedures across both hemorrhagic and acute ischemic stroke, said Linnea Burman, president of the neurovascular business.
The portfolio of guidewires and catheters can be integrated with Medtronic’s line of neurovascular products, Medtronic said, and will strengthen the company’s ability to support physicians across a range of procedures.
This acquisition is expected to close in the first half of Medtronic’s fiscal year 2027. The company’s fiscal year typically ends in April. Medtronic expects the deal to be minimally dilutive to adjusted earnings per share in fiscal 2027 and accretive after that.
