LivaNova (GB) has acquired ImThera Medical (US) for $225m in a transaction announced and closed on January 24, 2018.

Acquirer:LivaNova (GB)
Target:ImThera Medical (US)
Deal value ($m):$225m
Type:Acquisition
Date closed:January 24, 2018
Buy-side advisor:Spencer House Partners
Sell-side advisors:Not disclosed
Legal buy-side:Houlihan Lokey, Kirkland & Ellis
Legal sell-side:Not disclosed

The acquisition is part of LivaNova’s strategy to expand its presence in the neuromodulation market. ImThera Medical specializes in developing innovative therapies for neurological disorders, with a focus on obstructive sleep apnea (OSA).

Deal Mechanics

LivaNova, a global medical technology company based in London and operating across several therapeutic areas including neuromodulation, completed the transaction by acquiring all outstanding shares of ImThera Medical. The financial details were disclosed on the announcement date.

The buy-side advisory team was led by Spencer House Partners who provided LivaNova with strategic advice and guidance throughout the deal process.

Strategic Rationale

LivaNova’s acquisition of ImThera Medical aligns with its objective to strengthen its position in neuromodulation, a rapidly growing sector within healthcare technology. This move is expected to enhance LivaNova's offerings in the treatment of neurological disorders and provide additional solutions for patients suffering from OSA.

With this deal, LivaNova aims to leverage ImThera Medical’s proprietary technologies and expertise to address unmet medical needs in the market. The acquisition also brings a portfolio of therapeutic devices that complement LivaNova's existing product lines.

Financial Context

The $225m valuation reflects ImThera Medical’s strong pipeline of neuromodulation products and its potential to contribute significantly to LivaNova’s growth. The acquisition is projected to generate synergies through cross-selling opportunities and operational efficiencies within the combined entity.

Outlook

LivaNova expects this acquisition to provide a strategic entry point into new markets and enhance its competitive position in neuromodulation, particularly for sleep disorder treatments. The company anticipates that ImThera Medical’s technology will be instrumental in advancing research and development efforts aimed at developing next-generation therapies.