The story
Founded by John Abele and Peter Nicholas on Jun 29, 1979.1
Boston Scientific was formed on June 29, 1979, in Watertown, Massachusetts, as a holding company for the medical products company Medi-Tech, Inc., and to position the company for growth in interventional medicine. Medi-Tech was the brainchild of Itzhak Bentov, a Czech-born émigré to Israel and then to the United States, who worked at the Arthur D. Little think tank in Cambridge, Massachusetts, and ran a contract research company from his rented house in Belmont, Massachusetts, a venture he founded in 1965 with a business friend, Dan Singer.
In 1967 Bentov was asked by Boston Beth Israel Hospital radiologists to design a steerable, remotely controlled catheter; a series of engineering designs, polymer improvements and prototypes led to the release of a new steerable angiography catheter in 1969. That year John Abele joined the small company with an option to buy. A year later he exercised his option with Cooper Labs as a business partner, and the operation was moved – out of Bentov's lab in the basement of the rectory of a Catholic church in Belmont – to Watertown.
After a decade of steady growth, Abele met Pete Nicholas by chance in their neighborhood in Concord, Massachusetts. Their partnership hinged on Nicholas' goal to build business enterprises and Abele's predilection for the vision and potential in noninvasive surgical instrumentation; they gathered backers in the Boston banking community to buy out the Cooper Labs interest and form the new corporation.
Less than a year later Kimray Medical Associates (later Mansfield Scientific, Inc.) was acquired, adding vena cava filters and cardiac output computers to the product line. By 1982 a renovated mill building in Watertown was transformed into a manufacturing plant. Acquisitions continued, with Endo-Tech (Microvasive, Inc.: gastrointestinal and pulmonary) in 1981 and then Van-Tec (urology) in 1988, and an international presence was expanded. Mansfield Scientific, Microvasive, and Medi-Tech merged into Boston Scientific December 31, 1988.
Initial public offering (1992)
On May 19, 1992, Boston Scientific launched an initial public offering of 23.5 million shares, of which 18.8 million were offered in the U.S. and 4.7 million were offered outside the U.S. The initial offering amounted to 23% of Boston Scientific's outstanding stock.
Goldman, Sachs & Co. (lead) and PaineWebber Inc. were the underwriters and Abbott Laboratories held a 20% stake (23.5 million shares). The market capitalization was about $1.6 billion. The U.S. shares were listed on the New York Stock Exchange.
Post–IPO
From 1995 through 1997, Boston Scientific increased its technology R&D and product offerings following substantial acquisitions that included Cardiovascular Imaging Systems (intravascular ultrasound), SCIMED (cardiovascular), Vesica Medical (urology), Meadox (textile vascular prostheses), EP Technologies (cardiac ablation controllers), MinTec (abdominal aortic aneurysm grafts), Symbiosis Corporation (specialty medical product manufacture).
On November 3, 1998, Boston Scientific restated its financial results for 1997, as well as its quarterly results for the first three quarters of 1998, due to the occurrence of business irregularities in the operations of its Japanese subsidiary.
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In 2001, Boston Scientific acquired Target Therapeutics (neurology) in a tax-free stock swap for about $1.1 billion, more than 10 times Target's total sales, in contrast to the usual multiple of 10 times earnings.
The Taxus Stent was approved in 2003 in Europe and other countries and, in the United States, by the FDA in March 2004. It was the second drug-eluting stent approved in the United States.
In April 2004, the company announced that it had exercised an exclusive option to acquire Precision Vascular Systems, Inc., as part of a series of agreements between Boston Scientific and Precision Vascular in 2002, for an undisclosed sum. In June, Boston Scientific acquired Advanced Bionics Corporation for $740 million in cash, plus earn out payments. In December, Boston Scientific completed its acquisition of Advanced Stent Technologies, Inc., for $120 million payable in Boston Scientific stock, plus the possibility of future contingent payments. AST had been developing stent and stent delivery systems specifically designed to address the anatomical needs of coronary artery disease in bifurcated vessels.
In April 2005, BSC exercised an exclusive option to acquire TriVascular, Inc., for an undisclosed sum and renamed it as Boston Scientific Santa Rosa Corporation, or BSSR. TriVascular was founded in January 1998 to develop less-invasive medical devices and procedures for treating abdominal aortic aneurysms, but BSC discontinued its endovascular aortic repair (EVAR) program in 2006. BSC also announced it had exercised its option to acquire CryoVascular Systems, Inc., and its proprietary angioplasty device to treat atherosclerotic disease of the legs and other peripheral arteries. In June Boston Scientific announced that its wholly owned subsidiary, Nemo I Acquisition, Inc., had successfully acquired Salt Lake City-based Rubicon Medical Corporation, with Rubicon became a wholly owned subsidiary of Boston Scientific.
In March 2008, BSC sold BSSR to TV2 Holding Company of Santa Rosa. Terms of the sale include $30 million in cash paid at the closing to BSC and a warrant allowing BSC to purchase a minority interest in TV2.
Guidant merger
In January 2006, the company announced an offer for its longtime competitor, Guidant, for $72 per share or $25 billion. The offer, however, was rejected. On April 21, 2006, BSC acquired Guidant for $27.2 billion. Guidant was split between BSC and Abbott Laboratories. Four years later, in 2010, when moving its heart-rhythm business from its acquisition of Guidant, Boston Scientific eliminated 1300 jobs.
Post-merger
In December 2007, Boston Scientific announced it would sell its Fluid Management and Venous Access businesses for $425 million to Avista Capital Partners.
In April 2008, the company acquired CryoCor, Inc., for $1.35 per share, $17.6 million in total. Navilyst Medical was formed in February 2008 from Boston Scientific's Fluid Management and Vascular Access business units.
In January 2009, Boston announced it would acquire Labcoat Limited, whose primary development was that of a development-stage drug-eluting stent – for an undisclosed sum.
2010–2020
In October 2010, the company was fined $600,000 by the US Department of Justice for paying a US Army doctor to use their devices and recommend them to others. In the same month Boston Scientific acquired Asthmatx, Inc., for $193.5 million, with payments of up to $250 million being paid on the achievement of specified revenue-based criteria through 2019.
In January 2011, Boston acquired Atritech, Inc., for $100 million, plus up to $275 million in additional potential payments. That same month, the company acquired Intelect Medical, Inc., for 60 million and the remaining 86% of Sadra Medical, Inc., not already owned for $193 million plus contingent payments. At the same time, the business divested its neurovascular business to Stryker Corporation for $1.5 billion.
In June 2012, Boston Scientific officially acquired Cameron Health for a total sum of $1.3 billion, paid out incrementally as various revenue milestones were achieved. In September, the company announced it would acquire BridgePoint Medical, Inc., developer of a catheter-based system to treat coronary chronic total occlusions. In October, the company acquired Rhythmia Medical, Inc., developer of mapping and navigation methods for use in cardiac catheter ablations and other electrophysiology procedures. A month later, the business acquired catheter-based renal denervation system developer, Vessix Vascular, Inc.
In November 2013, Boston announced it would acquire Bard EP, the electrophysiology business of C.R. Bard, Inc. for $275 million.
In May 2014, Boston acquired hysteroscopic intrauterine tissue removal specialist, IoGyn, Inc. In September, the business announced it would acquire the Interventional business of Bayer.
In March 2015, the company announced it would acquire Endo International Plc's American Medical Systems urology business for at least $1.6 billion, expanding the company's health and prostate treatments. In April, Boston announced its intention to acquire Xlumena, Inc. In October Boston announced it had invested further in percutaneous mitral valve replacement system developer, MValve Technologies, gaining a right to acquire the business in the future.
In July 2016, the business acquired the manufacturer of radiofrequency ablation systems, Cosman Medical, Inc. In September, Boston Scientific announced it had acquired EndoChoice Holdings, Inc., becoming part of the Boston Scientific Endoscopy business for $210 million. In November, the company acquired the gynecology and urology portfolio of Distal Access, LLC, a company that designs minimally invasive medical devices. In December 2016, the business acquired a 15% stake in Neovasc, Inc., for $75 million.
In 2016, Boston Scientific acquired EndoChoice, located in Alpharetta, Georgia.
In May 2017, the company acquired Symetis SA, a developer of minimally invasive transcatheter aortic valve implantation devices. In October, Boston acquired Apama Medical Inc. for up to $300 million.
In April 2018, Boston Scientific announced the triple closure of its acquisitions of women's health company, nVision Medical Corporation, NxThera and Securus Medical Group, Inc., for up to $50 million. In July, Boston Scientific announced it would acquire Cryterion Medical, Inc, Veniti, Inc., in August Augmenix, Inc., and Claret Medical, Inc. In November, Boston Scientific announced it would acquire UK medical device maker BTG plc for $4.2 billion. In late December, the company announced it would acquire Millipede, Inc for $325 million, after previously investing $90 million in the company.
In May 2019, the company announced it would acquire Vertiflex, Inc., with the aim of increasing its interventional pain therapy offerings. Vertiflex principally developed treatment for lumbar spinal stenosis.
2021–present
In January 2021, Boston announced it would acquire Minneapolis-based Preventice Solutions, Inc., and its portfolio of mobile cardiac health solutions for up to $1.2 billion. In March, the business announced it would acquire the surgical business part of Lumenis Ltd. for $1 billion from an affiliate of Baring Private Equity Asia, who, in 2019, had acquired Lumenis from XIO Group. In June, the company announced it would acquire Farapulse, Inc., in a $295 million transaction to purchase the remaining 73% it didn't already own. Farapulse was a University of Iowa startup. In September, the business announced it would acquire Devoro Medical, Inc., and its blood clot capturing technology. Boston Scientific had been a strategic investor in Devoro since 2019. In October, the company announced it would acquire Baylis Medical Company Inc. for $1.75 billion, expanding its electrophysiology and heart product portfolios (see Frank Baylis).
In June 2022, the Boston Scientific announced it would acquire M.I.Tech Co., Ltd., of South Korea, for around $230 million. The deal was cancelled in May 2023 citing regulatory hurdles. In August, Boston announced it would acquire Obsidio, Inc.
In June 2022, Boston Scientific announced that it would invest $62.5 million in a manufacturing and supply chain facility in Johns Creek, Georgia, a suburb of Atlanta.
In September 2023, Boston Scientific acquired Relievant Medsystems, Inc. for an upfront cash payment of $850 million and undisclosed additional contingent payments based on sales performance over the next three years.
In January 2024, the company announced it would acquire Axonics, Inc. for $3.7 billion.
In January 2026, Boston Scientific announced it would acquire Penumbra in a ~$15 billion cash and stock deal. The deal was expected to close by yearend.
In August 2026, the company was unable to process shipments due to a hack.
From Wikipedia’s article on Boston Scientific, shared under CC BY-SA 4.0.8