The deal also included the payment of $100m based on the achievement of specific development or commercial milestones.

Based in Aliso Viejo of California, Sequent Medical is engaged in the development of new catheter-based neurovascular technologies.

Terumo intends to include majority of Sequent Associates in its Aliso Viejo office.

The company's subsidiary MicroVention is building a new worldwide headquarters that will accommodate both companies in Aliso Viejo. It is expected to be completed in mid-2017.

MicroVention president and CEO Richard Cappetta said: "We are very pleased to add Sequent Medical, including its outstanding research and development capacity, its unique WEB system and its talented team to the MicroVention family.

"Our goal is to blend the two companies together seamlessly and to quickly get to work on adding the WEB to our expanding portfolio of neurovascular products."

Sequent produces WEB aneurysm embolization system, which is based on MicroBraid technology.

The device is used to treat ruptured and unruptured intracranial aneurysms and other neurovascular abnormalities such as arteriovenous fistulae (AVF).

MicroBraid technology allows a mix of wire diameters or materials to achieve a balance of compliance, porosity and profile across device sizes.

WEB system received CE mark approval in 2010 to market in the Europe.

MicroVention-Terumo will work to receive approval for the WEB system from the US Food and Drug Adminstration (FDA).

Recently, Sequent completed patient enrollment in the WEB-IT investigational device exemption (IDE) pivotal trial. The data from the trial will be used to secure FDA approval for the system.

Image: Deployment Illustration of Terumo's WEB aneurysm embolization system. Photo: courtesy of TERUMO CORPORATION.