Medtronic to Acquire CathWorks in $585M Deal to Advance AI-Powered Cardiology Solutions

It is reported that this transaction still needs to obtain the approval of the U.S. Federal Trade Commission (FTC) approval, Medtronic is expected to be within the company2026Approved before the end of the fiscal year. Before the completion of the transaction, Medtronic andCathWorksWill continue to operate independently.

Before this acquisition, Medtronic had alreadyCathWorksCarried out friendly cooperation and achieved good results.

Self2018Since the year, Medtronic has been holdingCathWorksThe minority equity interest.2022Year, Medtronic andCathWorksReach a joint promotion agreement, invest7500Million USD, conducted in the United States, Europe, and JapanFFRangio® Systematic collaborative promotion activities. According to another agreement, Medtronic has the right to acquire after achieving certain undisclosed milestone conditions.CathWorksCompany。

Now, Medtronic has chosen to exercise its acquisition rights. This transaction alsoDemonstrates Medtronic's determination to expand its product line through strategic investments and targeted acquisitions.

Medtronic CEOGeoff MarthaRecentlyIndicates,The company will take the initiative to make strategic acquisitions, focusing on high-growth and near-commercialization targets for strengthening acquisitions.MedtronicChief Financial OfficerThierry PiétonClearly Point Out，Compared with the past few years,Medtronic willWill intensify the momentum of M&A activities.

The latest acquisitionWill enhance Medtronic's business portfolio in the field of interventional cardiology and expand its leadership in transforming the diagnosis and treatment of cardiovascular diseases.

Medtronic CoronarySenior Vice President and President of the Renal Denervation Business DepartmentJason WeidmanIndicates:“Through our joint promotion agreement, we have seen how CathWorks can disrupt the traditional wire-based FFR field and use the power of data and artificial intelligence to assist doctors in their work."This acquisition enables Medtronic to transform the catheterization lab with a technology that provides real-time data, guides personalized treatment plans, and drives new standards of care."

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Subvert TraditionFFR，No Innovation Technology Arrives

FFRIt is a functional and physiological indicator for assessing coronary blood flow.Is to achievePrecision Diagnosis and Treatment of Coronary Artery DiseaseThe effective basis.2018Year of ReleaseThe"Guidelines for the Diagnosis and Treatment of Stable Coronary Artery Disease" suggest assessing the degree of stenosis in coronary artery lesions and the fractional flow reserve (FFR) as the strategic basis for whether to intervene.

Globally, despiteAs an important diagnostic tool,FFRIt has been proven to have many benefits, but traditional wire-based FFR is still underutilized. This is mainly due to its invasive nature, requiring the use of a pressure wire, pharmacological hyperemia, and measurement at only a single transducer position within the vessel.Due to factors such as relatively high radiation exposure, invasiveness, and high cost, traditionalThe clinical application of FFR is limited.

Corporate disclosure information shows that CathWorksCore ProductFFRangio®System DisruptionFinishedTraditionalTheFFRMeasurement Method,By combining artificial intelligence (AI) with advanced computational science,The FFRangio® system is able to perform comprehensive physiological assessments of the entire coronary tree directly from standard coronary angiography images.Without the need for drug stimulation and invasive pressure wiresA large amount of clinical evidence shows that, compared with wire-based FFR, this system has excellent diagnostic accuracy and good clinical outcomes.

It should be noted that in recent yearsIn ChinaSeveral non-invasive FFR products based on coronary CT and FFR products calculated from coronary angiography have been approved in this field.Non-invasive FFR technology has taken the lead in technological innovation.

At present, shifting to high-growth markets has become a major revolutionary theme for current medical device giants.

Medtronic CEOGeoff MarthaThis Year1Month indicates,WillFocusing on bolt-on M&A areas that are close to commercialization and have high growth potential. This M&A model willFocus on highly synergistic with the company's existing businessMedium and Small-Sized Targets`, aiming at`Quickly fill product pipeline gaps and strengthen technical advantages, andPulsed Field Ablation, Renal Denervation, Tibial Nerve Modulation for Urgency Urinary IncontinenceAndSurgical RobotThe Big Four“Generational Growth Drivers”Complement each other.

Johnson & Johnson Medical Technologies"Brave Warriors Severing Wrists" – Advancing the Spin-off of Orthopedic Business.According to a relevant person in charge of Johnson & Johnson1MonthDisclosure: Currently, Johnson & Johnson Medical Technologies...340In its multi-billion-dollar business, about half of the assets are in high-growth markets with growth rates exceeding5%. And2018Year's Appointment20%In comparison, this proportion has increased significantly.And after the orthopedics division is completed, this proportion will further increase to70%。

The rapid development of new technologies is transforming the medical market, and the giants' focus and investment in innovation and cutting-edge fields will also trigger a new round of medical technology revolution, benefiting more doctors and patients.