UK-based healthcare company BTG has entered into an agreement to acquire US-based interventional pulmonology business PneumRx, for around $475m.
The deal was based on an initial consideration of $230m and about $245m in performance-related milestone payments.
PneumRx manufactures and distributes the RePneu Coil System, a minimally invasive device used to treat emphysema.
PneumRx founder, president and CEO Erin McGurk said: "All of us at PneumRx are most pleased to join the BTG family and we look forward to joining forces to advance the standard of care in emphysema treatment.
"Not only does BTG recognize the valuable business opportunity in PneumRx but they also value the PneumRx culture and our employees who have worked tirelessly for the past 10 years to bring us to where we are today."
Since 2008, the CE mark coil has been used to improve exercise capacity, lung function, and quality of life for patients with severe emphysema.
According to PneumRx, the implants are designed to compress diseased tissue, increase elastic recoil in the lung, and re-tension the diseased airway network, relieving breathlessness and allowing patients to perform more activities of daily living.
RePneu is currently sold in 11 European countries including Germany, Switzerland, Italy and Spain, and has a fully recruited US pivotal clinical trial currently underway, while approval is expected in 2016.
BTG’s interventional portfolio includes site-specific treatments for severe blood clots, including pulmonary embolisms, liver tumors, and varicose veins.
Image: According to source, "CT image of the lung of subjects with end-stage emphysema". Photo: courtesy of PLoS Medicine.