September 25, 2018

Wells Fargo analyst: Boston Scientific a potential target for Johnson & Johnson

Courtesy | Boston Scientific
Boston Scientific's headquarters are located in Marlborough.

New Jersey medical behemoth Johnson & Johnson could be eyeing Marlborough medical device giant Boston Scientific, according to a recent analyst report.

According to Barrons, Wells Fargo analyst Larry Biegelsen earlier this month said J&J acquiring Boston Scientific or its competitor Edwards Lifesciences of California would make sense for the firm, which has seen declining medical device sales since 2012.

Both Boston Scientific and Edwards would give J&J an entry to the growing market for heart valves inserted via arteries to avoid open-heart surgery.

Biegelsen reportedly noted J&J hasn't commented on Edwards or Boston Scientific as an acquisition target.

Boston Scientific declined to comment on the rumors Tuesday.

Edwards has a larger market share in the heart valve field, and Boston Scientific pulled its Lotus heart valve from the market in 2017. The device is expected to make a return to the market sometime next year.

Boston Scientific would be the more expensive purchase with a market valuation of about $52.7 billion compared to Edwards at just over $34 billion.

If Boston Scientific were acquired, it would be a reversal of sorts for the major players in the medical device market. The company itself has spent more than $2 billion on acquiring smaller companies.

Boston Scientific earlier this month announced its largest acquisition of the year, grabbing Bedford prostate health firm Augmenix for up to $600 million.

Read more

Boston Scientific announces $600M purchase of Bedford prostate firm

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