Boston Scientific (NYSE:BSX) announced today that it agreed to acquire intravascular ultrasound system developer SoniVie.
Marlborough, Massachusetts-based Boston Scientific is a strategic investor in SoniVie, holding about a 10% equity stake. With this stake, the transaction features an upfront payment of approximately $360 million for the 90% stake not yet owned. It also includes up to $180 million in potential regulatory milestone payments. The equity stake notwithstanding, Boston Scientific values the deal at $400 million upfront with $200 million in milestones, bringing the total to $600 million.
SoniVie develops the investigational Tivus system designed to denervate nerves surrounding blood vessels. The technology could treat a variety of hypertensive disorders, including renal artery denervation (RDN) for hypertension. Tivus helps reduce activity in the kidney’s renal nerves to help regulate blood pressure. Compared to radiofrequency energy, ultrasound could penetrate the tissue more deeply, potentially resulting in faster procedures with effective nerve ablation.
This acquisition could bring Boston Scientific into the now-competitive RDN space.
Recor Medical received a landmark FDA nod for its Paradise ultrasound-based RDN system in November 2023. Medtronic became the second company with such approval, receiving its nod for the Symplicity Spyral system just weeks later.
“Renal denervation for hypertension is an exciting medical advancement for the millions of patients it may help and is supported by positive results from contemporary clinical trials and ongoing research,” said Lance Bates, SVP and president, Interventional Cardiology Therapies, Boston Scientific. “We believe the addition of the differentiated, ultrasound-based Tivus system can complement our expansive interventional portfolio with a minimally invasive therapy for patients with hypertension and provides opportunity for future advancements in this space.”
More about SoniVie, Tivus and the Boston Scientific acquisition
Tivus, a catheter-based system, generates precise ultrasound energy that passes through the blood. It enters the renal arteries supplying blood to the kidneys without anchoring to the artery wall. This allows for continual blood flow to cool the treatment area.
SoniVie designed the energy to heat and ablate the bundles of nerves outside the arteries. It stops their ability to pass signals and reduces the sympathetic hormones released from the nerves. This results in the blood vessels relaxing and the reduction of the pressure within them.
The company recently initiated the THRIVE global FDA investigational device exemption (IDE) pivotal trial for Tivus.
Boston Scientific expects to complete the acquisition of SoniVie and Tivus in the first half of 2025. It expects a slightly dilutive impact to adjusted earnings per share (EPS) in 2025, offsetting that impact through internal cost efficiencies and trade-offs. The company anticipates a more dilutive impact on a GAAP basis due to amortization expense and acquisition-related charges. That excludes a one-time gain at closing associated with the previously held equity interest in SoniVie.
This marks yet another major acquisition for Boston Scientific in recent months, after the company completed its $1.18 billion acquisition of Silk Road Medical in September 2024, then closed the $3.7 billion buy of Axonics in November. To kick off the year, the company entered another hot space — intravascular lithotripsy (IVL) — by agreeing to buy Bolt Medical in January.
