Medtronic to acquire AI-enabled FFR specialists CathWorks for up to $585M
Medtronic has agreed to acquire CathWorks, an Israeli medtech company focused on the diagnosis and treatment of coronary artery disease, for up to $585 million.
CathWorks is known for its FFRangio technology, which uses advanced artificial intelligence (AI) algorithms and computational science to obtain fractional flow reserve (FFR) measurements of the coronary tree from routine X-ray images. The goal is to eliminate the need for invasive pressure wires, reduce radiation exposure and ensure only patients who require percutaneous coronary intervention undergo the procedure.
FFRangio received U.S. Food and Drug Administration clearance in 2018. One 2020 analysis in JACC: Cardiovascular Interventions found it achieved a diagnostic accuracy of 93%, sensitivity of 91% and specificity of 94%.[1]
Medtronic has held a minority investment in CathWorks for several years. In 2022, the medtech giant invested $75 million in CathWorks as part of a co-promotion agreement. It was known at the time that the partnership could result in a full acquisition somewhere down the line.
The FFRangio System for noninvasive FFR evaluations from CathWorks. Image courtesy of CathWorks.
“Medtronic is thrilled to move forward with our option to officially acquire CathWorks,” Jason Weidman, senior vice president and president of Medtronic’s Coronary and Renal Denervation business, said in a statement. “Through our co-promotion agreement, we've seen how CathWorks can disrupt the traditional wire-based FFR segment and leverage the power of data and AI to deliver innovative solutions that assist physicians at every step of a patient's journey, from diagnosis to treatment. This acquisition allows Medtronic to transform the cath lab with a technology that provides real-time data, informs individualized treatment approaches, and drives new standards of care.”
“We are thrilled to have CathWorks officially become part of the Medtronic family,” added Ramin Mousavi, president and CEO of CathWorks. “Our successful co-promotion over the past three years has unlocked significant opportunities in the coronary physiology market through the expanded utilization of our innovative technology. With Medtronic's vast global footprint, FFRangio will continue to reach even more patients globally. Bringing Medtronic and CathWorks together will create a best-in-class organization focused on driving new standards of care to transform the cath lab.”
Medtronic and CathWorks will operate as separate entities until this transaction is finalized. When the deal is closed, CathWorks will officially become a part of Medtronic.
Michael has more than 19 years of experience as a professional writer and editor. He has written at length about cardiology, radiology, artificial intelligence and other key healthcare topics.