Boston Scientific has reached an agreement with Baylis Medical Company to acquire the latter’s cardiology business for an upfront payment of $1.75bn.

Baylis Medical is engaged in the development and manufacturing of advanced medical devices in the field of cardiology.

The acquisition will add the company’s cardiology products to Boston Scientific’s electrophysiology and structural heart product portfolios.

The products include NRG Transseptal Platform, the VersaCross Transseptal Platform, as well as its full suite of transseptal sheaths and dilators, and ventricular tachycardia solutions.

Closing of the transaction is expected in the first quarter of 2022, subject to customary closing conditions.

Until closing, both the companies will operate separately and prepare for combination.

Boston Scientific chairman and CEO Mike Mahoney said: “The talented and innovative Baylis Medical Company team, combined with these transseptal platforms, will enhance our efforts to improve procedural efficiencies with physician tools designed to make left atrial access safer and more predictable, with a focus on patient outcomes.

“A leader in many of the fastest-growing markets in our industry, we believe that Baylis Medical Company will add meaningful revenue, operating income, and new research and development capabilities across multiple Boston Scientific businesses, while complementing existing offerings within our electrophysiology and structural heart portfolios.”

Baylis Medical’s affiliate Baylis Medical Technologies is not part of the transaction and will operate as a separate entity.

It develops and manufactures medical devices in the areas of radiology and neurosurgery, and offers contract manufacturing services.

Baylis Medical secured the US Food and Drug Administration (FDA) 510(k) approval for its NRG platform in 2008 and VersaCross platform in 2020.

Both NRG and VersaCross platforms leverage radiofrequency to facilitate access to the left side of the heart during the procedures.

The family of guidewires, sheaths and dilators are intended for use in left-sided diagnostic, ablation, mitral and LAAC procedures, and complement the platforms.

Baylis Medical president Kris Shah said: “Baylis Medical Company is proud of its Canadian roots and commitment to investing in the Canadian biomedical sector.

“We are thrilled that Boston Scientific has committed to continue the Baylis Medical Company legacy and will further enhance our efforts to bring these technologies to a greater number of physicians and patients with their significant global reach.

“As well, we look forward to increasing our investments in our Baylis Medical Technologies business and in Canada’s rich medical technology industry.”

In January this year, Boston Scientific agreed to acquire mobile cardiac health solutions provider Preventice Solutions for an upfront payment of $925m, and $300m potential milestone payments.