(RTTNews) - Boston Scientific Corp. (BSX) announced today that it has entered into a definitive agreement to acquire Penumbra Inc. (PEN) for $374 per share, reflecting an enterprise value of roughly $14.5 billion.
Under the terms of the agreement, Penumbra stockholders have the right to elect to receive $374 in cash or 3.8721 shares of Boston Scientific common stock, subject to proration, with the total deal consideration paid approximately 73% in cash and 27% in Boston Scientific shares.
The transaction is expected to be $0.06-0.08 dilutive to adjusted earnings per share for Boston Scientific in the first full year following the close of the acquisition, neutral to slightly accretive in the second year and more accretive thereafter.
What Boston Scientific Gains
Penumbra has built a comprehensive vascular portfolio to address cardiovascular diseases, the leading cause of death globally. Its products include mechanical thrombectomy systems such as Lightning Bolt and Lightning Flash computer assisted vacuum thrombectomy (CAVT) devices, used to remove blood clots in arterial, venous, and pulmonary vessels.
The company also offers peripheral embolization system designed to stop blood flow to control hemorrhaging or close vessels. These differentiated devices target conditions such as pulmonary embolism, stroke, deep vein thrombosis, acute limb ischemia, heart attack, and aneurysms.
The acquisition underscores Boston Scientific's strategy to expand its interventional portfolio and strengthen its position in vascular therapies.
Preliminary FY 2025 Update
Separately, Penumbra provided a preliminary update on its fourth quarter and full year 2025 financial results, highlighting robust growth across its thrombectomy and embolization franchises.
For the fourth quarter of 2025, Penumbra expects revenue in the range of $383.0 million to $384.8 million, representing growth of approximately 21% to 22% compared to $315.5 million in the fourth quarter of 2024.
Operating income is projected at $56.9 million to $60.4 million, up from $42.8 million in the prior year period, with operating margins expanding to 14.8% -15.7% versus 13.6% in Q4 2024. Gross margin improved to 67.9% - 68.1%, compared to 66.8% a year earlier.
For the full year 2025, Penumbra anticipates revenue of $1.401 billion to $1.403 billion, an increase of 17.3% to 17.5% from $1.195 billion in 2024. Operating income is expected at $186.9 million to $190.4 million, significantly higher than $9.3 million in 2024, reflecting improved execution and margin expansion. Gross margin for the year is expected at 67.1%, compared to 63.2% in 2024.
Penumbra's chairman and chief executive officer, Adam Elsesser described 2025 as a year of "exceptional growth and operational execution," citing strong adoption of the company's computer- assisted vacuum thrombectomy (CAVT) technology. He added that the Boston Scientific acquisition will accelerate Penumbra's mission to improve patient outcomes globally.
Penumbra plans to release its complete fourth quarter and full year 2025 financial results in February 2026.
PEN has traded between $221.26 and $325.02 over the past year. The stock is currently trading at $350.79, up 12%, touching a new 52-week high.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
