Johnson & Johnson (NYSE:JNJ) announced Tuesday that it has struck an agreement to acquire V-Wave Ltd., a privately-held company specializing in treatments for heart failure.
The deal will see Johnson & Johnson make an upfront payment of $600 million, with the potential for an additional $1.1 billion in milestone payments.
V-Wave will join Johnson & Johnson MedTech's unit.
"We recognize the importance of identifying more diverse and effective treatments for heart failure, and our recent track record demonstrates our focus on accelerating our impact on the most urgent and pressing unmet needs," said Tim Schmid, Executive Vice President and Worldwide Chairman of Johnson & Johnson MedTech. "We know V-Wave well, with our relationship dating back to our original investment in the company in 2016, and we have a deep understanding of the technology and science, as well as the company's commitment to patients."
This acquisition strengthens Johnson & Johnson MedTech's leadership in cardiovascular disease treatment.
Dr. Neal Eigler, Chief Executive Officer of V-Wave, said: "We are confident that Johnson & Johnson MedTech is well-positioned to ensure V-Wave's breakthrough ideas and technology reach patients in need as quickly and effectively as possible."
V-Wave's Ventura Interatrial Shunt (IAS) is an implantable device designed to reduce elevated left atrial pressure in heart failure patients. It has received FDA Breakthrough Device Designation and is CE marked.
The company believes the device addresses a significant unmet need for approximately 800,000 U.S. patients suffering from heart failure with reduced ejection fraction (HFrEF) annually.
JNJ's acquisition of V-Wave is expected to close by the end of 2024, pending regulatory approvals.