Irish medical technology firm Medtronic has entered into an agreement to acquire US-based medical device firm Twelve, for around $458m.
Under the deal, Twelve will receive $408m from Medtronic at closing, as well as $50m on achievement of CE mark approval.
Based in Redwood City of California, Twelve is involved in the development of a transcatheter mitral valve replacement (TMVR) device.
Mitral regurgitation takes place when the heart’s mitral valve fails to close normally, allowing blood to flow backward when the heart contracts. This will lead to declining heart function and heart failure, over time.
Medtronic coronary and structural heart president and senior vice-president Sean Salmon said: "We have followed the transcatheter mitral valve space closely and firmly believe that Twelve has the most novel technology along with a strong, proven team.
"The combined strengths of our organizations will significantly accelerate our ability to deliver an exciting and differentiated therapy to patients, physicians and healthcare systems around the world."
According to Medtronic, Twelve is the twelfth firm spun out from the medical device incubator The Foundry.
Twelve is backed by healthcare investors, including Domain Associates, Versant Ventures, Morgenthaler Ventures, Longitude Capital, Emergent Medical Partners, Vertex Venture Management, and Capital Group.
Twelve president and CEO Andrew Cleeland said: "Twelve’s technology is a truly creative solution that brings together valve technology with a unique and highly differentiated dual-stent fixation design."
Subject to customary closing conditions, the deal is expected to complete in October this year.
Image: Medtronic operational headquarters, Minneapolis. Photo: courtesy of Medtronic, Inc.