J&J bought a heart med-tech maker for $1.7bn

Johnson & Johnson (NYSE:JNJ) has struck a $1.7 billion deal to acquire V-Wave Ltd, a private company that’s developing devices to treat heart failure.

It sees the pharma and med-tech giant pay $600 million upfront, followed by contingent milestone-based payments of up to $1.1 billion.

V-Wave's Ventura Interatrial Shunt (IAS) is described as a novel implantable device, designed to address heart failure – in J&J’s words, it is described as minimally invasive, and aims to reduce cardiovascular events and hospitalizations.

The deal builds on a prior relationship, which saw J&J previously invest in V-Wave.

It is expected to close by the end of 2024, subject to regulatory approvals.

Johnson & Johnson highlighted that this acquisition will enhance its innovation in treating cardiovascular diseases and fill a significant treatment gap in the market.

“We recognize the importance of identifying more diverse and effective treatments for heart failure, and our recent track record demonstrates our focus on accelerating our impact on the most urgent and pressing unmet needs,” said Tim Schmid, EVP and chair of Johnson & Johnson MedTech.

“We know V-Wave well, with our relationship dating back to our original investment in the company in 2016, and we have a deep understanding of the technology and science, as well as the company’s commitment to patients.”

V-Wave CEO Dr Neal Eigler, meanwhile, added: “We are confident that Johnson & Johnson MedTech is well-positioned to ensure V-Wave’s breakthrough ideas and technology reach patients in need as quickly and effectively as possible.”