Boston Scientific acquires surgical operations to expand its kidney stone management portfolio

By Robb M. Stewart

 

Boston Scientific Corp. enters into an agreement to acquire the global surgical business of privately owned Lumenis Ltd. for a cash payment of $ 1.07 billion in advance to expand its kidney stone management portfolio.

The final agreement with a subsidiary of Baring Private Equity Asia Ltd., which would retain ownership of Lumeni’s global aesthetics and ophthalmic companies, is subject to final adjustments, Boston Scientific said on Wednesday.

Lumeni’s surgical operations, with 2021 net sales expected to reach approximately $ 200 million, include laser systems, fibers and accessories used for urology and otolaryngological procedures, says Boston Scientific.

The medical technology company has had a relationship with Israel-based Lumenis for more than 20 years and currently sells Lumenis’ urology laser portfolio in the United States and Japan through a distribution arrangement. After completing the acquisition, Boston Scientific said it would sell lasers and fibers, as well as the otolaryngology laser portfolio, to all geographic areas, including high-growth regions such as China.

Boston Scientific said it expects to complete the transaction in the second half of the year, with an impact on its adjusted earnings per share that is insignificant in 2021 but is expected to increase EPS by approximately two cents by 2022 and become increasingly accretive thereafter. Due to depreciation costs and acquisition-related net costs, it said that the purchase is expected to weigh the result this year and then be less dilutive or increasingly accetative thereafter.

 

Write to Robb M. Stewart at [email protected]

 

(END) Dow Jones Newswires

03 March 2021 07:33 ET (12:33 GMT)

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