Healthcare products company Johnson & Johnson (J&J) (NYSE:JNJ) and cardiovascular medical device company Shockwave Medical Inc (Nasdaq:SWAV) announced on Friday a definitive agreement for JNJ to acquire all outstanding shares of Shockwave for USD335.00 per share in cash, totalling approximately USD13.1bn including cash acquired.
This acquisition enhances JNJ's position in cardiovascular intervention, tapping into high-growth segments like coronary artery disease (CAD) and peripheral artery disease (PAD). Shockwave's innovative intravascular lithotripsy (IVL) technology for calcified CAD and PAD treatment complements JNJ's existing portfolio.
Post-transaction, Shockwave will operate as a unit within JNJ MedTech, further bolstering its presence in cardiovascular healthcare.
The deal is projected to accelerate sales growth and enhance operating margins for both JNJ and JNJ MedTech, albeit with a slight dilution in adjusted earnings per share in 2024 and 2025 due to financing costs.
Subject to shareholder and regulatory approvals, the transaction is expected to close by mid-year 2024.
AstraZeneca completes acquisition of Amolyt Pharma
CureLab Oncology names new CMO
Tempus announces receipt of FDA clearance for AI-based AFib risk detection
Revelation Biosciences' Phase 1 study shows promising results for TLR4 agonist Gemini
Smartcella adds new board members
Boehringer Ingelheim reports strong growth in 2023 and accelerates late-stage pipeline
Haemonetics' TEG 6s hemostasis cartridge gains FDA clearance
Polymedco's PATHFAST hs-cTnI-II test receives US FDA clearance
Gilgamesh Pharmaceuticals receives multi-year USD14m grant from NIDA
Advanced Medical Solutions Group plc proposes GBP120.8m acquisition of Peters Surgical
AstraZeneca launches Phase III THARROS trial for BREZTRI in COPD to assess cardiopulmonary outcomes