AtriCure is paying $34 million in stock for California surgical ablation devicemaker Estech, giving the Ohio-based company added clout in the atrial fibrillation market.
The agreement, which is expected to close by early January, includes up to an additional $26 million based on the achievement of certain milestones.
AtriCure makes the Synergy ablation system, the first and only device approved to treat persistent and longstanding persistent forms of afibrillation in patients undergoing certain open concomitant procedures, and the AtriClip left atrial appendage exclusion device. Estech manufactures a line of ablation devices that perform using proprietary temperature-controlled RF energy.
“This acquisition demonstrates our commitment to providing the most robust suite of products and solutions for our physician customers to treat the broadest set of patients suffering from Afib and Afib-related complications,” said AtriCure President and CEO Mike Carrel. He called the merger an “ideal fit.”
AtriCure spokesman Andy Wade called the merger “a good way to serve [Estech’s] customers and take their technology to some of our customers who might want to use it. It’s a cross-selling opportunity. “We’re putting their products into a bigger distribution channel,” both in the U.S. and globally, he told Device Daily Bulletin. In return, AtriCure will benefit from Estech’s stronger international sales presence. — Lena Freund