Based in Or Yehuda, Valtech is involved in the development of novel surgical and transcatheter valve repair and replacement devices, including mitral valve regurgitation (MR) and tricuspid valve regurgitation (TR).

Under the deal, Valtech shareholders will secure an up-front consideration of 4.4 million shares of HeartWare common stock, as well as 800,000 shares of HeartWare common stock based on CE mark approval of Cardioband device.

Valtech will receive another 700,000 shares of HeartWare common stock based on first-in-man implants for either Cardioband tricuspid or CardioValve.

The deal also comprises warrants to purchase 850,000 shares of HeartWare common stock at an exercise price of $83.73 per share exercisable upon attainment of $75m in net sales of Valtech products and an earn-out payment of $375m upon attainment of $450m of net sales.

HeartWare International president and CEO Doug Godshall said: "We have been actively monitoring the mitral space for several years, given the overlap of patient population and referral channel with our VAD business."

Valtech’s product portfolio includes Cardioband for mitral and tricuspid repair and Cardinal that received CE mark approval for mitral repair.

The firm also developed CardioValve, a transcatheter mitral valve replacement (TMVR) system with five degrees of steering maneuverability, as well as V-Chordal that is a surgical and interventional chord replacement system for MR repair.

Valtech founder and CEO Amir Gross said: "By joining HeartWare, we can more quickly and fully realize the potential of our pipeline technologies and further influence the underpenetrated markets that we serve."

Subject to regulatory approvals, the deal is expected to complete by the end of this year.

Image: HeartWare to acquire privately held firm Valtech Cardio. Photo: courtesy of adamr/