Boston Scientific Adds Stroke Prevention To Vascular Portfolio Via Silk Road Medical's $1.3B Deal
Portfolio Pulse from Vandana Singh
Boston Scientific Corporation (NYSE:BSX) has agreed to acquire Silk Road Medical Inc (NASDAQ:SILK) for $1.3 billion, adding stroke prevention technology to its vascular portfolio. The acquisition price represents a 38% premium to Silk Road's recent average share price. The deal is expected to close in the second half of 2024, with Silk Road becoming a wholly-owned subsidiary of Boston Scientific.
June 18, 2024 | 2:02 pm
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POSITIVE IMPACT
Boston Scientific's acquisition of Silk Road Medical for $1.3 billion will add stroke prevention technology to its vascular portfolio. The deal is expected to close in the second half of 2024, with minimal impact on adjusted earnings per share in 2024 and 2025.
The acquisition will enhance Boston Scientific's product offerings in the vascular space, particularly in stroke prevention. While the immediate financial impact is minimal, the long-term strategic benefits are significant.
CONFIDENCE 90
IMPORTANCE 80
RELEVANCE 100
POSITIVE IMPACT
Silk Road Medical's stock surged 23.8% following the announcement of its acquisition by Boston Scientific for $1.3 billion. The deal offers a 38% premium over the recent average share price and is expected to close in the second half of 2024.
The acquisition provides a significant premium to Silk Road Medical's shareholders, leading to a sharp increase in its stock price. The strategic fit and financial terms are favorable for Silk Road Medical.
CONFIDENCE 95
IMPORTANCE 90
RELEVANCE 100