Boston Scientific (NYSE:BSX) said Monday it is buying Asthmatx, maker of the first government approved non-drug procedure for the treatment of severe asthma, for a possible total of $443.50 million.
The privately-held drugmaker’s Alair Bronchial Thermoplasty System, which received US Food and Drug Administration approval in April, is a less-invasive procedure performed under conscience sedation.
The program, intended for the 6 to 8 million patients whose asthma is not effectively treated with drugs, decreases the ability of the airways to constrict, reducing the frequency and severity of asthma attacks.
“The benefits we have seen with bronchial thermoplasty are impressive and have included a substantial improvement in patients' asthma symptoms,” said Mario Castro, principal investigator for the Asthma Intervention Research 2 clinical trial.
The deal calls for the Natick, Massachusetts-based medical device maker to pay $193.5 million up front, which it plans to do so using cash on hand, and additional payments of up to $250 million.
“By combining our two great organizations we will be able to increase awareness of this novel technology and expand our reach to patients suffering the effects of severe asthma,” said Asthmatx CEO Glen French.
The transaction, subject to customary conditions, is expected to close in the fourth-quarter of this year.