BTG to buy Novate for up to $130m

(Sharecast News) - Healthcare company BTG on Friday said it was paying up to $130m in cash to buy Ireland-based Novate, which specialises in the prevention of pulmonary embolism (PE) in patients at high risk of venous thromboembolic events.BTG will pay $20m in cash up front with more forthcoming "if certain commercial and sales-related milestones are met". The transaction is expected to be accretive to adjusted EPS from the second full year of ownership, BTG said.Novate has developed Sentry, the first bioconvertible inferior vena cava which has recently been granted 510(k) regulatory clearance in the US.Sentry's 12 month clinical trial data demonstrated no new symptomatic PE and no evidence of device migration, tilt, fracture, perforation or embolization, complications which have been associated with some other IVC filters, BTG said.The unique bioconversion feature eliminates the need for an additional interventional procedure to retrieve the device.BTG plans to launch Sentry in the US in the second half of the 2018/19 financial year and will sell the device through its existing vascular sales force."This bolt-on acquisition further enhances BTG's strength in the vascular space." said BTG chief executive Louise Makin."Novate's unique IVC filter offers our existing customers a highly complementary product in the management of PE."