Haemonetics has announced its acquisition of Attune Medical for $160 million, a strategic move aimed at improving its portfolio with innovative solutions that enhance patient safety during cardiac ablation procedures. This move shows Haemonetics’ proactive approach to strengthening its presence in critical medical procedures, particularly in the area of cardiac ablation. Attune Medical, a Chicago-based company renowned for its innovative ensoETM proactive esophageal cooling device, stands as a pivotal addition to Haemonetics’ diverse portfolio. The acquisition is structured as an upfront cash payment of $160 million, with additional contingent considerations tied to sales growth and specific milestones, as outlined in the agreement between the two companies.
Radiofrequency ablation, an important procedure in treating conditions like atrial fibrillation, involves the creation of controlled scars in the heart tissue to rectify irregular heartbeats. The procedure poses inherent risks, particularly the potential for thermal injury to the esophagus due to its proximity to the heart. Attune’s ensoETM device addresses this challenge by offering a sophisticated temperature management system designed to cool the esophagus during ablation procedures, mitigating the risk of injury and enhancing patient safety. This innovative solution has garnered acclaim, culminating in the FDA’s de novo authorization for ensoETM in September 2023, outlining its efficacy and safety profile.
The acquisition of Attune Medical comes due to Haemonetics’ mission of advancing patient care and Attune’s innovative technology. Stewart Strong, Haemonetics’ global hospital president, has highlighted the synergies between the acquisition and the company’s existing portfolio, particularly in the electrophysiology (EP) and interventional cardiology markets. This partnership is strengthened by Attune’s revenue growth, which doubled to approximately $22 million in 2023, reflecting its market potential and attractiveness as an acquisition target. Haemonetics anticipates immediate effects on its revenue and earnings growth upon completing the acquisition, further solidifying its position as a leader in healthcare technology solutions.
The financial intricacies of the acquisition are outlined in the agreement between Haemonetics and Attune Medical. The $160 million upfront cash payment signifies Haemonetics’ commitment to acquiring Attune’s innovative technology and expertise. The inclusion of contingent considerations tied to sales growth and specific milestones outlines the shared vision between the two companies and their commitment to mutual success. Haemonetics plans to fund the acquisition through a combination of cash on hand and a revolving credit facility draw, highlighting strategic approach to capital allocation.
With the completion of the acquisition expected in the first quarter of Haemonetics’ fiscal year 2025, the company is poised to leverage synergies between the two entities quickly. This strategic move reinforces Haemonetics’ commitment to innovation and outlines its dedication to shaping the future of healthcare through strategic partnerships and investments. By integrating Attune Medical’s pioneering technology into its portfolio, Haemonetics aims to enhance patient outcomes, drive operational efficiencies, and unlock new growth opportunities in the rapidly evolving healthcare landscape. The acquisition of Attune Medical represents a strategic win-win for both companies, paving the way for continued innovation and advancement in healthcare technology.
