On March 21st, Boston Scientific announced its intent to acquire Medical Alley-based NxThera, a medical device company developing the Rezūm system, a revolutionary, safe, and cost-effective minimally invasive treatment option for men suffering from benign prostatic hyperplasia (BPH).
“We are excited to announce this agreement with Boston Scientific,” said Bob Paulson, president and chief executive officer of NxThera. “Their strong leadership in the field of urology will help drive the Rezūm system forward and ensure that more men have access to this treatment option.”
BPH (or enlarged prostate) is a very common, but costly, condition affecting 110 million men worldwide including 14 million American men aged 50 or older, with nearly one million new diagnoses each year. Prior to NxThera’s acquisition, more 20,000 men had been effectively treated across the US and Europe using the Rezūm system.
“When compared with other minimally invasive BPH therapies, patients treated with the Rezūm system spend less time in the doctor’s office and have longer lasting improvement in their symptoms,” said Dave Pierce, senior vice president and president, Urology and Pelvic Health, Boston Scientific.
NxThera started in 2008 and raised over $113 million dollars. The acquisition price was $306 million with an additional $100 million in milestone payments tied to growth in sales.
As part of this transaction, the application of NxThera’s water vapor technology to treat prostate, bladder and kidney cancer will be licensed to a new company that will be spun out of NxThera and owned by current shareholders, including Boston Scientific.