Medtech company Medtronic has completed its $585 million acquisition of CathWorks, an interventional cardiology medical device company.
The deal follows a 2022 strategic partnership between the companies, which included a co-promotion agreement for CathWorks’ FFRangio system in the U.S., Europe and Japan. Additional undisclosed earn-out payments may be made post-acquisition, according to an April 20 news release.
CathWorks’ FFRangio system uses AI and computational science to assess coronary artery disease from routine angiograms, offering a noninvasive alternative to traditional wire-based fractional flow reserve methods.
The acquisition comes after results from the ALL-RISE randomized control trial, which included more than 1,900 patients across 59 sites, showed the technology was non-inferior to wire-based approaches for major adverse cardiac events at one year, with improved resource use and reduced procedure time.
The acquisition is expected to be immaterial to Medtronic’s fiscal year 2027 generally accepted accounting principles and adjusted earnings per share and neutral to accretive thereafter.
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