Boston Scientific has agreed to acquire certain manufacturing assets and capabilities of Neovasc’s biological tissue business for around $75m.

The deal also includes the purchase of a 15% equity stake in Neovasc.

The acquired biological tissue business develops elements for transcatheter heart valves, including Boston Scientific’s Lotus valve system.

Once the deal concludes, Boston Scientific will integrate the acquired biological tissue capabilities in its structural heart business for use in the manufacturing of the Lotus valve and future heart valve technologies.  

Neovasc is planning to use the proceeds from the transactions for general corporate purposes.

Subject to customary closing conditions, the deal is expected to complete by the end of this year.

Boston Scientific operations executive vice president Ed Mackey said: "We continually seek ways to optimize our manufacturing processes and enhance our product portfolio.

"The vertically integrated operational capabilities resulting from this acquisition will strengthen our structural heart pipeline and immediately benefit our Lotus valve platform as we work to increase our market share in Europe and prepare for launch in the U.S., expected in late 2017."

Neovasc CEO Alexei Marko said: "Boston Scientific has been a long-term customer of Neovasc, having historically represented a sizeable percentage of our tissue processing revenues.”

Neovasc develops and markets products for cardiovascular market. It is currently developing Tiara technology for the transcatheter treatment of mitral valve disease.

The Neovasc Reducer technology will be used for the treatment of refractory angina.