Sam Brusco, Associate Editor11.20.23
Boston Scientific has completed the acquisition deal for Relievant Medsystems. The deal was first announced in September.
Relievant offers the only U.S. Food and Drug Administration (FDA)-cleared Intracept intraosseous nerve ablation system, which treats vertebrogenic pain (a form of chronic low back pain). Intracept adds to Boston Scientific’s chronic pain portfolio, which includes spinal cord stimulation, radiofrequency ablation, and an interspinous spacer procedure.
Relievant recently secured national coverage from Anthem Blue Cross Blue Shield and Humana that are both effective now.
"The revolutionary therapy from Relievant has tremendous potential to help even more people living with chronic pain," Jim Cassidy, president of Neuromodulation at Boston Scientific, told the press. "The completion of this acquisition further differentiates our position in advanced interventional chronic pain, offering physicians the broadest selection of evidence-based treatment options that address multiple pain targets and change patients' lives."
The acquisition includes upfront cash payment of $850 million, with further contingent payments based on sales performance over the next three years. On an adjusted basis, the transaction is expected to be immaterial to adjusted earnings per share in 2024, slightly accretive in 2025, and increasingly accretive thereafter. On a GAAP basis, the transaction is expected to be more dilutive due to amortization expense and acquisition-related charges.
Relievant offers the only U.S. Food and Drug Administration (FDA)-cleared Intracept intraosseous nerve ablation system, which treats vertebrogenic pain (a form of chronic low back pain). Intracept adds to Boston Scientific’s chronic pain portfolio, which includes spinal cord stimulation, radiofrequency ablation, and an interspinous spacer procedure.
Relievant recently secured national coverage from Anthem Blue Cross Blue Shield and Humana that are both effective now.
"The revolutionary therapy from Relievant has tremendous potential to help even more people living with chronic pain," Jim Cassidy, president of Neuromodulation at Boston Scientific, told the press. "The completion of this acquisition further differentiates our position in advanced interventional chronic pain, offering physicians the broadest selection of evidence-based treatment options that address multiple pain targets and change patients' lives."
The acquisition includes upfront cash payment of $850 million, with further contingent payments based on sales performance over the next three years. On an adjusted basis, the transaction is expected to be immaterial to adjusted earnings per share in 2024, slightly accretive in 2025, and increasingly accretive thereafter. On a GAAP basis, the transaction is expected to be more dilutive due to amortization expense and acquisition-related charges.