Pharma firm BTG buys US-based Roxwood for up to $80m

Courtney Goldsmith
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Making bolt-on acquisitions is part of BTG's strategy (Source: Getty)

Specialty pharmaceuticals firm BTG has picked up US-based cardiovascular catheter maker Roxwood Medical for up to $80m (£61m).

BTG will pay $65m in cash, plus an additional $15m if certain milestones are achieved. The deal is expected to be accretive to adjusted profit from the second full year of ownership.

"This bolt-on acquisition continues to build BTG's strength in the interventional vascular space, further expanding our portfolio of differentiated minimally invasive vascular technologies," said John Sylvester, BTG's chief commercial officer.

Sylvester added that Roxwood's products complement the existing business and will be offered throughout its endovascular system hospital sales force.

Read more: Valeant Pharmaceuticals launches $1bn private bond sale

In a separate trading update, BTG said it delivered double-digit product sales growth for the six months to the end of September.

The firm reiterated its product sales guidance for the full year and said licensing revenue in the first half benefited from back-royalties and is now expected to decline over the full year by low double digits compared with the previous estimate of a high-teens decline.

Shares in the FTSE 250 company rose 2.53 per cent to 709p in afternoon trading.

Read more: BTG shares dive after revenue warning

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