Boston Scientific has signed a definitive agreement to acquire Apollo Endosurgery, a medical technology company developing minimally invasive endoscopy devices to treat gastrointestinal conditions.

The biomedical engineering company will purchase Apollo at a price of $10 per share in cash, which represents a total enterprise value of around $615m, including debt.

The purchase price is around 67% premium to the closing price of Apollo’s common stock on 28 November 2022, the last day prior to the announcement.

The transaction is expected to be completed in the first half of 2023, subject to certain customary closing conditions.

Apollo said that its Board of Directors has unanimously approved the deal, and certain stockholders representing 8.4% stake have agreed to vote in favour of the acquisition.

Boston Scientific said that the acquisition will help expand its endoluminal surgery portfolio and add differentiated technologies for endobariatric procedures.

Boston Scientific senior vice president and endoscopy president Mike Jones said: “Endoluminal surgery is an emerging field and a core focus for our Endoscopy business.

“We intend to expand our global capabilities in ELS with the differentiated innovation that Apollo Endosurgery offers, and we will continue to focus on procedural adoption as well as professional education in this exciting space.

“This acquisition also enables us to enter a new adjacency, the endobariatric market, and deliver strong, continued growth across our business.”

Apollo offers a portfolio of medical devices used in endoluminal surgery (ELS) procedures for gastrointestinal complications and help patients in their weight loss journey.

ELS offers a less-invasive alternative to open and laparoscopic surgery for patients with gastrointestinal diseases, enabling rapid recovery and minimising surgical complications.

According to Boston Scientific, Apollo may generate around $76m in net sales this year, building on projected growth in its endoscopic suturing system franchise.

The franchise includes OverStitch Endoscopic Suturing System, OverStitch Sx Endoscopic Suturing System and X-Tack Endoscopic HeliX Tacking System.

In July this year, Apollo has received US Food and Drug Administration (FDA) de novo clearance for its Apollo ESG, Apollo ESG Sx, Apollo REVISE and Apollo REVISE Sx Systems, for ESG and endoscopic bariatric revision procedures.

Recently, Boston Scientific has unveiled positive results from the post-market clinical follow-up (PMCF) study of its ACURATE neo2 aortic valve system.