Medtronic has announced the acquisition of TYRX, a US-based developer of implantable combination antibiotic drug and implanted medical devices, for $160m.

For this transaction, Medtronic will pay $160m upfront, and potential earn out and performance based milestone payments to TYRX.

TYRX supplies AIGISRx R fully resorbable antibacterial envelope that is used to reduce surgical site infections associated with cardiac implantable electronic devices. The company also supplies AIGISRx N antibacterial envelope, for use with spinal cord neuromostimulators.

The AIGISRx R and AIGISRx N devices have been approved by the US Food and Drug Administration.

Medtronic Cardiac Rhythm Disease Management business president and senior vice president Pat Mackin noted while the risk of infection from an implanted pacemaker or defibrillator is low for most patients, repeated operative procedures after the initial device implant are associated with a substantial incremental risk of infection.

"This is estimated to cost the U.S. healthcare system more than $1 billion per year. TYRX has developed an innovative, proven technology to reduce infection risk, making the procedure safer for patients and removing significant costs from the healthcare system," Mackin added.

According to Medtronic, this transaction supports the company’s expansion of its medical device product offerings to include broader healthcare services and solutions, providing meaningful clinical outcomes and economic value for hospitals, physicians, patients and payers.