AtriCure Inc. announced Monday that it has entered into a definitive agreement valued at $300 million to acquire SentreHEART Inc.
Under terms of the agreement, AtriCure, a Mason, Ohio-based company that specializes in development treatments for atrial fibrillation, will pay SentreHEART about $40 million in cash and AtriCure common stock up front and additional “contingent consideration based on the achievement of certain clinical and reimbursement milestones over the next several years,” according to AtriCure’s news release.
Of the contingent consideration, $140 million is based on milestones related to the aMAZE investigational device exemption clinical trial, including premarket application approval, and $120 million is based on a milestone related to reimbursement for the therapy involving SentreHEART devices.
SentreHEART, a privately held company based in Redwood City, California, specializes in percutaneous left atrial appendage (LAA) management.
“We believe that SentreHEART is a strategic addition to AtriCure, significantly expanding our addressable markets with a product designed for electrophysiologists,” said Michael Carrel, President and CEO of AtriCure, in the news release. “With our pursuit of labeling based on the aMAZE Trial, we are deepening our commitment to provide the broadest possible offering of ablation and left atrial appendage management solutions to our customers and their patients.”
The aMAZE trial is a U.S. Food and Drug Administration-approved prospective, multicenter, randomized controlled trial evaluating the LARIAT Suture Delivery Device for LAA closure adjunctive to pulmonary vein isolation catheter ablation for the treatment of persistent and longstanding persistent atrial fibrillation. Full enrollment is anticipated by early next year.
The transaction is expected to close in the next several days. AtriCure shareholder approval is not required.