Boston Scientific completes sale of cardiac and vascular surgery units

Following the announcement of a definitive agreement last year, Boston Scientific has announced the completion of the sale of its cardiac surgery and vascular surgery business units to the Getinge Group based in Sweden for a total sum of $750 million (380 million pounds) in cash.

The company reports that it expects to record after-tax charges of around $240 million in relation to this transaction, with these costs to be recorded in the fourth quarter of 2007 and the first quarter of this year.

Jim Tobin, president and chief executive officer of Boston Scientific, said: “We have now sold three of our five previously identified non-strategic businesses, and we expect to close on the remaining two – fluid management and venous access – this quarter.”

He added that, in conjunction with continuing work to lower expenses and simplify its business model, these divestitures will help the company increase shareholder value, restore profitable growth and strengthen the company for the future.

Last week, Boston Scientific announced that it had completed the sale of its controlling interests in its auditory unit and drug pump development programme to the former principals and shareholders of Advanced Bionics, a firm acquired by the company in 2004.