Medtronic plc Aug. 6 announced a deal to expand its Jacksonville-based ear, nose and throat products business by acquiring a California company.
Medtronic agreed to pay $1.1 billion in cash for Intersect ENT, which makes sinus implants to treat patients with chronic rhinosinusitis.
Dublin, Ireland-based Medtronic has had an ENT surgical products business in Jacksonville since it acquired Xomed Surgical Products Inc. in 1999 for about $800 million in stock.
“The Medtronic ENT business is a global leader in navigation, nerve monitoring, and powered instruments used during ear, nose, and throat procedures,” the company said in an emailed statement.
“Medtronic ENT is not developing and does not sell any drug-eluting sinus implants. An acquisition of Intersect ENT will enable Medtronic’s entry into localized drug delivery implants and sinus obstruction,” it said.
The company also said it will get cost efficiencies by using Medtronic ENT’s infrastructure to market Intersect ENT’s products.
Medtronic does not report financial data for its ENT business.
Menlo Park, California-based Intersect ENT reported sales of $51.7 million in the first half of this year.
Medtronic said it expects to close the acquisition in its current fiscal year, which ends in April 2022.