Hologic, Inc. (Nasdaq: HOLX), a global leader in women’s health, announced today that it has signed a definitive agreement to acquire Bolder Surgical, a privately held, U.S.-based company that provides advanced energy vessel sealing surgical devices, for approximately $160 million, subject to working capital and other customary closing adjustments.
“This acquisition will broaden our growing Surgical portfolio by adding Bolder’s differentiated advanced vessel sealing and dissection tools that are used in laparoscopic procedures,” said Essex Mitchell, Hologic’s Division President, Surgical. “We can accelerate growth and improve patient outcomes by leveraging our significant commercial resources and strong relationships with OB/GYNs.”
The transaction adds laparoscopic vessel sealing, dividing, and dissecting devices to the Hologic portfolio and also will enable Hologic to expand the use of Bolder’s devices to OB/GYN specialists. Hologic estimates that there are five times more laparoscopic procedures in OB/GYN applications than in pediatrics, where Bolder focuses today. Bolder’s CoolSeal® devices feature slender, dual-action jaws, allowing for dissection, vessel sealing, and dividing all in one device. The ability to use a combination device improves surgical efficiency by reducing the need for instrument exchanges. In addition, Bolder’s JustRight® 3 mm vessel sealer and the JustRight 5 mm stapler are designed for small surgical spaces such as in pediatric cases, which can help reduce the need for larger, overpowered instruments.
“Becoming part of Hologic and its highly respected and well-known Surgical business is an exciting and pivotal junction for Bolder,” said Robert Kline, Bolder Surgical’s President, and Chief Executive Officer. “Together, we will accelerate realizing Bolder’s vision to increase the efficiency of both surgeons and hospitals. Joining Hologic, with its similar mission, culture, and world-class portfolio of products is an ideal fit for Bolder.”
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The complementary acquisition of Bolder Surgical will add to Hologic’s surgical product line, which includes the NovaSure® endometrial ablation system for the treatment of abnormal uterine bleeding, the MyoSure® tissue removal devices for the treatment of intrauterine fibroids and polyps, the Acessa® laparoscopic radiofrequency ablation system for the treatment of fibroids, and the Fluent® fluid management system for streamlining hysteroscopic procedures.
“This acquisition is another good example of our capital deployment strategy, as we use our strong cash flow to add products that leverage our existing channel strength and accelerate our growth,” said Steve MacMillan, Hologic’s Chairman, President, and Chief Executive Officer.
Bolder Surgical is expected to generate approximately $10 million of product revenue this calendar year. The acquisition is expected to be slightly dilutive to Hologic’s non-GAAP earnings per share in fiscal 2022, roughly break-even in fiscal 2023, and accretive thereafter.
The acquisition is expected to close by the end of calendar 2021, subject to antitrust clearance and other customary closing conditions.
Forward-Looking Statements
This news release contains forward-looking information that involves risks and uncertainties, including statements about Hologic’s and Bolder’s plans, objectives, expectations, and intentions. Such statements include, without limitation: financial or other information based upon or otherwise incorporating judgments or estimates relating to future performance, events or expectations; each company’s strategies, positioning, resources, capabilities, and expectations for future performance; and each company’s outlook and financial and other guidance. These forward-looking statements are based upon assumptions made as of this date and are subject to known and unknown risks and uncertainties that could cause actual results to differ materially from those anticipated.
Risks and uncertainties that could adversely affect either company’s business and prospects, and otherwise cause actual results to differ materially from those anticipated, include without limitation: the possibility that the anticipated benefits from the proposed transaction cannot be fully realized or may take longer to realize than expected; the possibility that costs or difficulties related to the integration of Bolder Surgical’s operations with those of Hologic will be greater than expected; the ability of Hologic and Bolder Surgical to retain and hire key personnel; the coverage and reimbursement decisions of third-party payers and the guidelines, recommendations, and studies published by various organizations relating to the use of products and treatments; the ability to successfully manage ongoing organizational and strategic changes, including Hologic’s ability to attract, motivate and retain key employees; the development of new competitive technologies and products; regulatory approvals and clearances for products; the anticipated development of markets in which products are sold into and the success of products in these markets; the anticipated performance and benefits of products; estimated asset and liability values; anticipated trends relating to Hologic’s financial condition or results of operations; and Hologic’s capital resources and the adequacy thereof.
The risks included above are not exhaustive. Other factors that could adversely affect Hologic’s business and prospects are described in Hologic’s filings with the SEC. Hologic expressly disclaims any obligation or undertaking to release publicly any updates or revisions to any such statements presented herein to reflect any change in expectations or any change in events, conditions or circumstances on which any such statements are based.
Source: Biospace
