From Carl Icahn’s point of view, Illumina Inc.’s desired reintegration of its former spinoff is more a poisoned chalice than a holy Grail. In his opening salvo to a proxy fight, Icahn published an open letter March 13 to other Illumina shareholders referencing the “extreme displeasure” of investors with Illumina’s “reckless” determination to acquire Grail Inc., despite European regulators’ strong opposition to the deal.
Abbott Laboratories reported its plans to acquire Cardiovascular Systems Inc., (CSI), makers of an orbital atherectomy system, and will pay shareholders of CSI $20 per share. Analysts see the acquisition as a smart move for Abbott even though the purchase price represents a 50%-plus premium over the Feb. 8 closing price of $13.31, but the companies did not provide a date by which the transaction will close.
Globus Medical Inc. entered into a definitive agreement to buy Nuvasive Inc. in an all-stock transaction that will combine two leaders in the musculoskeletal industry into one of the largest companies in the spinal surgery market. While there are many companies in the spine market, the acquisition may still set off an alarm among regulators concerned about consolidation in the field. Both boards unanimously approved the deal.
The volume of med-tech deals and M&As dropped in the fourth quarter of 2022, although it was a solid year for both types of transactions due to a growing interest in the digital health space.
Digital health remains a primary driver of med-tech partnerships and mergers, accounting for 67.3% of all deal activity and 49.9% of the completed M&As in 2022.
The value of med-tech mergers and acquisitions, as well as deals, fell in the third quarter, although 2022 remains a standout year. M&As are at a five-year high, while deals are second only to 2019, in terms of overall value during the first three quarters. The volume of M&As are behind 2021, but deal volume this year remains on top.
As amounts raised through financings are significantly shy of last year, med-tech deals and M&As appear strong, with digital health dominating the landscape.
Boston Scientific Corp. acquired privately held Obisidio Inc., adding the company’s gel embolic material (GEM) technology to its portfolio. GEM is a ready-to-use, semi-solid material that conforms to the vasculature in which it is placed to immediately obstruct or reduce blood flow to a tumor or abnormality or stop hemorrhaging.
Thales SA signed a major partnership with the Curie Institute to use very high-intensity electron FLASH radiotherapy (FLASH-RT) in cancer therapy. Based on its experience in the field of particle accelerators, “we have all the manufacturing facilities and human know-how necessary to ramp research and development for this new technology,” Charles-Antoine Goffin, vice president, microwave & imaging subsystems at Thales, told BioWorld.
.webp?height=488&t=1658440060&width=650 "Centre de protontherapie a l'Institut Curie (Orsay)")