Boston Scientific Acquires Gynecological Device Maker IoGyn For $65 Million
By Jof Enriquez,
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Boston Scientific has acquired IoGyn, a California-based company specializing in products for gynecology surgery, in a deal worth $65 million in cash. With the transaction, Boston Scientific obtains the remaining 72 percent of IoGyn; it previously held a 28 percent minority interest in the startup. Boston Scientific will also assume all debt owed by IoGyn in accordance with the deal, which is expected to close within days.
The acquisition follows the recent FDA approval of IoGyn’s Symphion System for hysteroscopic intrauterine tissue removal of myomas and polyps. Boston Scientific said that the deal would allow the pairing of Symphion and its Genesys HTA System to form a “compelling set of gynecologic surgery products.”
“IoGyn offers minimally invasive approaches that we believe are more cost-effective for patients, surgeons, and the health care system,” Karen Prange, senior VP and president of Boston Scientific’s Urology and Women’s Health Division , said in a statement.
The Symphion is an endoscopically controlled, hysteroscopic bipolar tissue removal system designed for symptomatic cases of fibroids and polyps, which account for a quarter of all benign uterine growths affecting some 2 million women in the United States annually.
According to Boston Scientific, Symphion is a minimally invasive surgical system that mitigates the risk for complications and longer-term recovery associated with traditional hysterectomies, while also preserving the ability of the patient to bear children.
“This new technology platform is designed to address unmet patient and physician needs, and we believe it represents a truly differentiated improvement compared to existing technologies in the fast-growing hysteroscopic fibroid removal market segment,” Prange said in the statement. “Among its features, the Symphion System includes a closed-loop fluid management system designed to prevent potentially dangerous fluid overload in the patient, and a radio frequency approach that facilitates rapid tissue removal.”
The Symphion System resects myomas and polyps within the uterus and uses a suction mechanism to remove tissue. In contrast, another technique using power morcellation devices has been linked to an increased risk for spread of uterine cancer to other structures in the abdominal cavity. The FDA last month released a warning against the use of laparoscopic power morcellation for removal of fibroids.
In the statement, Boston Scientific said it is keen on the growing hysteroscopic fibroid removal market, which is expected to expand from $80 million currently to $200 million by 2020.
The company has been expanding its reach from its traditional market of neuromodulation, electrophysiology, and cardiovascular products. According to Boston Business Journal, revenue for the company’s urology and women’s health products rose 8 percent in the first quarter compared to the same period last year, reaching $126 million.