Dive Brief Information:

• Boston Scientific made the announcement on Friday agreed to buy Nalu Medicaldeveloping a treatment for chronic peripheral nerve pain to expand its neuromodulation portfolio.
• The company, which has been an investor in Nalu since 2017, said it would pay $533 million. USD for the remaining equity that it does not yet own. In total, Nalu acquired 600 million.
• Analysts said the deal continues Boston Scientific’s expansion strategy through long-term deals. „The acquisition is in line with Boston Scientific’s strategy to attract private investment to expand its portfolio,” Citi Research analyst Joanne Wuensch said in a note on Friday.

Diving Insight:

The Nalu Neurostimulation System uses an implantable generator to send electrical impulses to interrupt pain signals before they reach the brain. The treatment, which was approved by the Food and Drug Administration in 2019, targets pain in areas such as the shoulders, lower back and knees.

Shagun Singh, an analyst at RBC Capital Markets, said Friday that the acquisition complements Boston Scientific’s existing interventional pain treatments, including spinal cord stimulation, spinal nerve ablation for back pain and radiofrequency ablation.

According to Singh, Boston Scientific has completed more than 40 deals in the past 10 years and has about 45 active investments in its venture capital portfolio.

The analyst expects the company to continue to focus on acquisitions. „M&A is (Boston Scientific’s) highest capital allocation priority to deliver on its category leadership strategy,” Singh wrote.

It is expected that in 2025 Nalu’s sales will reach more than 60 million. USD, and in 2026 sales will increase by more than 25 percent, Boston Scientific said in a statement. The deal is expected to be marginal to adjusted earnings per share in 2026, slightly accretive in 2027 and accretive thereafter.

The deal is expected to close in the first half of 2026.