Medical device manufacturer Boston Scientific has completed an acquisition of NxThera, the US-based developer of a benign prostatic hyperplasia (BPH) treatment system that is also one of its portfolio companies.
Boston Scientific will pay $306m for the company up front, with up to $100m more available through milestone payments over the next four years.
NxThera has developed a device called Rezum which combats BPH, a condition that causes the prostate to enlarge. It will be integrated into Boston Scientific’s Urology and Pelvic Health division.
The company had raised at least $93.8m in equity financing since being founded in 2008, most recently pulling in $12.2m from undisclosed investors according to a February 2017 regulatory filing.
Mitsui Global Investment, a subsidiary of conglomerate Mitsui, and American Medical Systems, the medical device producer acquired by Boston Scientific in 2015, both took part in NxThera’s series B round, which closed at $21.6m in 2011.
The series B also featured Premier Asia Capital, Prolog Ventures, Alafi Capital, GDN Holdings, Aberdare Ventures and Arboretum Ventures, and preceded $25m in series C funding from unnamed investors in 2014.
All the series B backers returned for NxThera’s $40m series D round in 2015, investing alongside Boston Scientific, Ally Bridge Group and financial services firm East West Bank, the latter providing debt financing.