Johnson and Johnson to purchase Micrus Endovascular

Johnson and Johnson has agreed a deal to purchase the medical device company Micrus Endovascular in cash-for-stock transaction valued at $480 million (314.4 million pounds).

Micrus Endovascular specialises in the development of minimally invasive devices to address haemorrhagic and ischemic stroke, a leading cause of death and disability worldwide.

Under the terms of the acquisition deal, which is expected to close at some point in the second half of the year, it will become part of Codman and Shurtleff, the neuro device business of Johnson and Johnson subsidiary DePuy.

Michael Mahoney, group chairman for DePuy family of companies, expressed confidence that the merger will deliver treatments and solutions which neither firm could have provided individually.

He added: “The merger represents an important strategic move in the neuro device space for us and a significant step forward in the delivery of technologies for the prevention and treatment of stroke.”

This comes after Johnson and Johnson outlined plans for further growth of its medical device businesses last month, which include the launch of new products such as Harmonic energy instruments and the Ethicon Securestrap Strap Fixation Device.