Medtronic announced Monday that it will buy Framingham’s Heartware International for $1.1 billion as the Dublin-based company seeks to expand its heart failure portfolio.
Medtronic, which has locations in Massachusetts, has put forward an offer for all outstanding Heartware shares for $58 each in cash in a transaction valued at approximately $1.1 billion. The boards of both companies have already unanimously approved the agreement, which is expected to close by the end of October pending customary closing conditions, according to Medtronic.
Heartware’s flagship product, the HVAD System — a ventricular assist device, is set for a clinical trial later this year. The company with 585 employees took a hit on revenue in 2015 and backed out of its own $929 million dollar purchase of Israeli company Valtech Cardio in January.
By acquiring Heartware, Medtronic will expand its offerings in the heart failure care continuum not only with Heartware’s current technology and its good relationships with hospitals but also the technology it is working on bringing to market.
Doug Godshall, president and CEO of HeartWare said the deal will help bring that new technology to market, benefiting customers, shareholders and employees by having the support of Medtronic.
