Boston Scientific Corp. (BSX: Quote) on Thursday agreed to buy the Interventional Division of Bayer AG (BAYZF.PK,BAYRY.PK,BYR.L) for $415 million in cash.
Bayer Interventional Division designs and makes products to treat coronary and peripheral vascular disease. In 2013, Bayer Interventional generated sales of about $120 million. The deal is expected to close in second half of 2014. Boston plans to fuse the division with its Boston Scientific Peripheral Interventions business.
Boston expects the deal to provide it access to a number of attractive segments in the peripheral space, including the growing atherectomy and thrombectomy categories.
"We expect this acquisition will help fuel continued growth for the company and we are looking forward to welcoming the team from Bayer Interventional to Boston Scientific," said Mike Mahoney, president and chief executive officer, Boston Scientific.
The company currently expects the transaction to be immaterial to adjusted earnings in 2014, but accretive by about $0.01 in 2015 and increasingly accretive thereafter.
BSX is currently trading at $12.59, down $0.20 or 1.56%, on the NYSE.
by RTT Staff Writer
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