Boston Scientific Corp.’s anticipated $3.7 billion acquisition of medical device maker Axonics Inc. is bound to face rigorous examination by the US Federal Trade Commission (FTC), antitrust experts forecast. This level of analysis is expected due to the dominance of both companies as providers of treatments for urinary incontinence. Bloomberg Law reported on this prediction on March 7, 2024.
The January-announced deal intends to bolster Boston Scientific’s urology business sector, which had a turnover of $1.96 billion in 2023. The acquisition will enable Boston Scientific to possess the two leading solutions to stress urinary incontinence in women. Stress urinary incontinence is a medical condition wherein individuals unintentionally pass urine due to the heightened pressure on the bladder triggered by physical activities such as exercising, laughing, or sneezing.
As it stands, Boston Scientific is the leading manufacturer of vaginal slings, a medical device widely used to manage this incontinence in women. With the addition of Axonics to its portfolio, Boston Scientific is set to incorporate the counterpart’s advanced sacral neuromodulation technology, which aids in controlling bladder functions and thereby, alleviating urinary and bowel dysfunctions too.
The prospect of this acquisition has caught the attention and potential concern of the antitrust authorities. The FTC’s probable rigorous scrutiny will follow the steps to confirm whether the executed deal does not lead to a reduction in competition, subsequently leading to a potential surge in treatment costs for millions of patients with urinary incontinence.
Boston Scientific remains hopeful and enthusiastic about closing this $3.7 billion deal by the middle of 2024, subject to regulatory approvals and customary closing conditions.