Medtronic Acquires Epix Therapeutics to Enter Cardiac Ablation Market with Innovative DiamondTemp RF Ablation System

VCBeat (WeChat Official Account: vcbeat) learned from foreign media reports that medical device giant Medtronic (NYSE: MDT) has recently acquired Epix Therapeutics, a developer of cardiac ablation technologies (formerly known as Advanced Cardiac Therapeutics), for an undisclosed amount. Through this acquisition, Medtronic will leverage Epix Therapeutics’ strong R&D capabilities to enhance its cardiac ablation portfolio and expand its product offerings. Medtronic stated that the acquisition is expected to close on April 26, 2019.

Epix Therapeutics is a technology company focused on the development of cardiac ablation technologies, headquartered in Santa Clara, California, USA. The company’s flagship device is DiamondTemp, a catheter-based radiofrequency cardiac ablation system that received CE Mark certification in the European Union in 2017. Epix Therapeutics is currently conducting an FDA Investigational Device Exemption (IDE) trial for DiamondTemp, aimed at supporting regulatory review and approval by U.S. authorities. Public information from Epix Therapeutics indicates that DiamondTemp facilitates the diagnosis and treatment of patients with paroxysmal atrial fibrillation. Recently, Epix Therapeutics participated in the Diamond-AF II trial, which is evaluating the use of DiamondTemp for treating patients with persistent atrial fibrillation.

Medtronic is one of the world’s largest companies in medical technology, services, and solutions. In 2015, it surpassed Johnson & Johnson to become the largest medical device company globally. Medtronic’s operations are primarily divided into four segments: Cardiovascular Group (CVG), Minimally Invasive Therapies Group (MITG), Restorative Therapies Group (RTG), and Diabetes (DIAB). Medtronic’s orthopedics business falls under RTG, which accounts for only 25% of the company’s total revenue. For fiscal year 2017, Medtronic reported total revenue of $29.7 billion, with the RTG segment—where orthopedics resides—generating $7.366 billion.

“With real-time temperature control via rapid power modulation, the DiamondTemp Ablation System offers distinct advantages over other radiofrequency ablation technologies. This technology significantly reduces procedure time and improves procedural success rates. I had the privilege of collaborating with Epix Therapeutics to design the Diamond-AF II trial,” said Dr. Atul Verma from Southlake Regional Health Centre in Canada.

Medtronic stated, “The DiamondTemp Cardiac Ablation System represents a breakthrough technology in the field of radiofrequency cardiac ablation and will play a significant role in the future of healthcare. The cardiac ablation market is one we have not previously entered, which is one of the reasons for this acquisition. By combining our current globally leading cryoballoon technology with this system, Medtronic will provide physicians with best-in-class cryoablation and radiofrequency ablation systems.”