Medtronic put up $316m for Epix Therapeutics

Monday, June 24, 2019

Source: MassDevice

Medtronic (NYSE:MDT) put a total of $316 million on the table to acquire Epix Therapeutics, including a $100 million earn-out.

The Fridley, Minn.-based company, which is the world’s largest pure-play medical device maker, in January announced the deal for Epix, formerly known as Advanced Cardiac Therapeutics, without revealing further terms.

In a regulatory filing last week, Medtronic said the milestone largely consists of “a product development-based payment triggered upon a U.S. Federal Drug Administration regulatory approval” for Santa Clara, Calif.-based Epix’s flagship DiamondTemp catheter-based radiofrequency cardiac ablation system. DiamondTemp won CE Mark approval in the European Union in 2017.

The company is engaged in an FDA IDE trial of the device, the Diamond-AF trial, which it hopes will support regulatory clearance in the US with indications for treating patients with symptomatic paroxysmal atrial fibrillation. Epix added that it is also engaged in a trial, the Diamond-AF II trial, which is exploring the device’s use in treating patients with persistent AF.

Late last year, Medtronic closed the $1.7 billion acquisition of Mazor Robotics (NSDQ:MZOR) and its robot-assisted surgery platform, capping the buyout with the announcement that their first jointly produced product won an FDA nod.

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