Boston Scientific Announces Agreement to Acquire Bolt Medical, Inc.

Rhea-AI Summary

Boston Scientific (NYSE: BSX) has announced a definitive agreement to acquire Bolt Medical, developer of an intravascular lithotripsy (IVL) advanced laser-based platform for treating coronary and peripheral artery disease. The acquisition includes an upfront payment of $443 million for the 74% stake not yet owned, plus potential regulatory milestone payments of up to $221 million.

Boston Scientific, which already holds a 26% equity stake in Bolt Medical since helping establish it in 2019, aims to expand its cardiovascular portfolio with this complementary calcium modification platform. The Bolt IVL™ system uses novel lithotripsy technology to fracture calcium through acoustic pressure waves inside a balloon catheter.

Bolt Medical recently completed the RESTORE ATK and BTK pivotal clinical trials and received FDA approval to commence the global FRACTURE IDE clinical trial for coronary arterial disease treatment. The transaction is expected to close in first half 2025 and be slightly dilutive to adjusted EPS in 2025.

Positive

• Strategic expansion into fast-growing medical device segment
• Existing 26% ownership reduces acquisition risk
• Completed pivotal clinical trials for peripheral artery disease
• FDA approval received for coronary arterial disease clinical trial
• Internal cost efficiencies expected to offset EPS dilution

Negative

• Expected to be dilutive to adjusted EPS in 2025
• Additional $221M payment contingent on regulatory milestones
• Product not yet cleared for commercial distribution in any country

Insights

Financial Analyst

The $443M upfront acquisition of Bolt Medical represents a strategic move into the high-growth intravascular lithotripsy market. With an additional $221M in potential milestone payments, Boston Scientific is making a calculated bet on expanding its cardiovascular portfolio. The deal structure, leveraging BSX's existing 26% stake, demonstrates financial prudence and risk mitigation.

The slight EPS dilution in 2025 is manageable through internal efficiencies, while the one-time gain from the previously held equity stake will partially offset GAAP impacts. The IVL market's rapid growth trajectory and BSX's established distribution network could accelerate commercialization post-regulatory approvals. The completion of RESTORE trials and FDA approval for the FRACTURE IDE study significantly de-risks the investment.

Medical Device Specialist

The Bolt IVL technology represents a significant advancement in calcified lesion treatment. Think of it as using sound waves to crack calcium deposits like breaking a stone, but with precise control inside blood vessels. The visible, directional emitters are a key differentiator, enabling more consistent energy delivery compared to existing solutions.

The strategic value lies in the platform's versatility across both coronary and peripheral applications. The completion of both Above the Knee and Below the Knee trials suggests a comprehensive approach to peripheral artery disease treatment. With cardiovascular diseases being the leading global cause of death, this acquisition positions BSX to address a critical therapeutic need with next-generation technology.

Market Research Analyst

This acquisition solidifies BSX's competitive position in the rapidly expanding IVL market. The timing is particularly strategic as the sector shows accelerating growth driven by aging populations and increasing prevalence of calcified arterial disease. BSX's existing 26% stake and early involvement in the technology's development indicates deep understanding of the platform's potential.

The regulatory milestone structure ($221M) aligns payment with value creation events, protecting shareholder interests. With BSX's global commercial infrastructure and established relationships with interventional cardiologists, the company is well-positioned to capture market share once regulatory approvals are secured.

Acquisition to expand cardiovascular portfolio with complementary and differentiated calcium modification platform, furthering company's strategy to address coronary and peripheral disease

MARLBOROUGH, Mass., Jan. 8, 2025 /PRNewswire/ -- Boston Scientific Corporation (NYSE: BSX) today announced it has entered into a definitive agreement to acquire Bolt Medical, Inc., the developer of an intravascular lithotripsy (IVL) advanced laser-based platform for the treatment of coronary and peripheral artery disease.

"Representing one of the fastest growing medical device segments, intravascular lithotripsy therapy addresses a significant unmet need for patients with complex calcified arterial disease through a minimally invasive approach," said Lance Bates, senior vice president and president, Interventional Cardiology Therapies, Boston Scientific. "Bolt Medical is developing a next-generation technology that is highly complementary to our existing portfolio. The addition of this system to our offerings can help us better serve physicians and their patients and provides a platform for future innovation."

Cardiovascular diseases are the leading cause of death globallyⁱ and are commonly due to narrowing of coronary and peripheral arteries, which can restrict blood flow. These narrowed arteries are often created by cholesterol deposits and may also have buildup of calcium that can increase the complexity of potential treatments. Lithotripsy is a procedure in which a physician breaks up hardened masses such as calcium to help restore blood flow. The Bolt IVL™ system is designed with a novel application of lithotripsy to fracture calcium by creating acoustic pressure waves inside of a balloon catheter. The system also includes visible, directional emitters for consistent energy delivery in the treatment of the calcified lesions.

Boston Scientific initially developed the concept for the Bolt IVL system which helped establish Bolt Medical in 2019. As a strategic investor in Bolt Medical, Boston Scientific has an equity stake of approximately 26 percent. As a result, the transaction consists of an upfront payment of approximately $443 million for the 74 percent stake not yet owned and up to $221 million upon achievement of certain regulatory milestones.⁺

Bolt Medical recently announced the completion and results of the RESTORE ATK and RESTORE BTK pivotal clinical trials investigating the Bolt IVL™ Above the Knee (ATK) and Below the Knee (BTK) systems for the treatment of peripheral artery disease in patients with moderate to severely calcified lesions. The data from both studies will be used to support U.S. Food and Drug Administration (FDA) and CE Mark regulatory submissions for the devices. In December 2024, Bolt Medical received FDA approval to commence the global FRACTURE IDE clinical trial in the U.S., which is investigating the use of the Bolt IVL™ Coronary System for the treatment of coronary arterial disease with severely calcified lesions.

Boston Scientific anticipates the transaction to be completed in the first half of 2025, subject to customary closing conditions. On an adjusted basis, the company expects the transaction to be slightly dilutive to adjusted earnings per share (EPS) in 2025, and to offset via internal cost efficiencies and trade-offs. On a GAAP basis, the transaction is expected to be more dilutive due to amortization expense and acquisition-related charges, except for a one-time gain to be recognized at closing associated with the company's previously held equity interest in Bolt Medical. 

⁺On a 100% basis before consideration of Boston Scientific's current equity ownership in Bolt Medical, debt and other closing adjustments, the transaction price consists of $600 million up front, and up to $300 million upon achievement of certain regulatory milestones.

Caution: The Bolt IVL™ system is an investigational device, which is not yet cleared for commercial distribution in any country.

About Boston Scientific 
Boston Scientific transforms lives through innovative medical technologies that improve the health of patients around the world. As a global medical technology leader for more than 45 years, we advance science for life by providing a broad range of high-performance solutions that address unmet patient needs and reduce the cost of health care. Our portfolio of devices and therapies helps physicians diagnose and treat complex cardiovascular, respiratory, digestive, oncological, neurological and urological diseases and conditions. Learn more at www.bostonscientific.com and connect on LinkedIn and X, formerly Twitter.

Cautionary Statement Regarding Forward-Looking Statements 

This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements may be identified by words like "anticipate," "expect," "project," "believe," "plan," "estimate," "intend" and similar words. These forward-looking statements are based on our beliefs, assumptions and estimates using information available to us at the time and are not intended to be guarantees of future events or performance. These forward-looking statements include, among other things, statements regarding our business plans, the financial and business impact of the transaction and the anticipated benefits of the transaction, the closing of the transaction and the timing thereof, and product performance and impact. If our underlying assumptions turn out to be incorrect, or if certain risks or uncertainties materialize, actual results could vary materially from the expectations and projections expressed or implied by our forward-looking statements. These factors, in some cases, have affected and in the future (together with other factors) could affect our ability to implement our business strategy and may cause actual results to differ materially from those contemplated by the forward-looking statements expressed in this press release. As a result, readers are cautioned not to place undue reliance on any of our forward-looking statements.

Factors that may cause such differences include, among other things: future economic, political, competitive, reimbursement and regulatory conditions; geopolitical events; manufacturing, distribution and supply chain disruptions and cost increases; disruptions caused by cybersecurity events; disruptions caused by public health emergencies or extreme weather or other climate change-related events; labor shortages and increases in labor costs; variations in outcomes of ongoing and future clinical trials and market studies; market competition for our products; expected procedural volumes; new product introductions; demographic trends; the closing and integration of acquisitions, including our ability to achieve the anticipated benefits of the proposed transaction and successfully integrate Bolt Medical's operations; business disruptions (including disruptions in relationships with employees, customers and suppliers) following the announcement and/or closing of the proposed transaction; intellectual property; litigation; financial market conditions; future business decisions made by us and our competitors; the conditions to the completion of the proposed transaction, including the receipt of any required regulatory approvals and clearances, may not be satisfied at all or in a timely manner; and the closing of the proposed transaction may not occur or may be delayed. All of these factors are difficult or impossible to predict accurately and many of them are beyond our control. For a further list and description of these and other important risks and uncertainties that may affect our future operations, see Part I, Item 1A – Risk Factors in our most recent Annual Report on Form 10-K filed with the Securities and Exchange Commission, which we may update in Part II, Item 1A – Risk Factors in Quarterly Reports on Form 10-Q we have filed or will file hereafter. We disclaim any intention or obligation to publicly update or revise any forward-looking statements to reflect any change in our expectations or in events, conditions or circumstances on which those expectations may be based, or that may affect the likelihood that actual results will differ from those contained in the forward-looking statements, except as required by law. This cautionary statement is applicable to all forward-looking statements contained in this press release.

CONTACTS: 
Laura Aumann 
Media Relations
(651) 582-4251
laura.aumann@bsci.com  

Jon Monson
Investor Relations
+1 (508) 683-5450
BSXInvestorRelations@bsci.com

ⁱ Cardiovascular diseases (CVDs) (who.int)

 

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SOURCE Boston Scientific Corporation

FAQ

How much is Boston Scientific (BSX) paying to acquire Bolt Medical?

Boston Scientific is paying $443 million upfront for the remaining 74% stake, plus up to $221 million in regulatory milestone payments.

When will the BSX acquisition of Bolt Medical close?

The transaction is expected to close in the first half of 2025, subject to customary closing conditions.

What is the current status of Bolt Medical's clinical trials?

Bolt Medical has completed RESTORE ATK and BTK pivotal trials for peripheral artery disease and received FDA approval to begin the FRACTURE IDE trial for coronary arterial disease.

How will the Bolt Medical acquisition affect BSX's earnings per share?

The acquisition is expected to be slightly dilutive to adjusted EPS in 2025, with plans to offset through internal cost efficiencies.

What percentage of Bolt Medical did BSX already own before the acquisition?

Boston Scientific owned approximately 26% equity stake in Bolt Medical before the acquisition announcement.