Listen to this article

Johnson & Johnson completed its $13.1 billion acquisition of Shockwave Medical, a California-based company that specializes in cardiovascular disease treatments.

With the deal’s closing, Shockwave will operate as a wholly owned subsidiary within Johnson & Johnson‘s MedTech business and its stock is no longer trading on the Nasdaq Global Select Market, the New Brunswick-headquartered pharma giant said in a May 31 news release.

Under the terms of the deal, J&J acquired all outstanding shares of Shockwave for $335 per share in cash through a merger of Shockwave and a J&J subsidiary.

Founded in 2009, Shockwave is known for a first-of-its-kind intravascular lithotripsy technology that uses sonic pressure waves to crack calcium lesions in arteries and restore blood flow. The technology can be used to treat coronary artery and peripheral artery disease.

Tim Schmid, executive vice president and worldwide chairman of J&J MedTech, described the acquisition as a “significant milestone in the expansion of our leadership position in the medtech industry.”

“Shockwave’s differentiated solutions and robust pipeline represent an exciting opportunity for Johnson & Johnson MedTech to bring more innovations to patients in one of the largest areas of unmet medical need. We are excited to begin collaborating directly with the Shockwave team and look forward to a bright future together,” Schmid said in a statement.

According to J&J, Shockwave is expected to become J&J MedTech’s 13th priority platform, as defined by annual sales of at least $1 billion.

The move also extends J&J MedTech’s presence in cardiovascular segments. In 2022, the company added Abiomed, a heart recovery leader, for more than $16 billion. Last fall, it announced the $400 million acquisition of Laminar.

Joaquin Duato, J&J’s chairman and chief executive officer, commented, “Through Innovative Medicine and MedTech, Johnson & Johnson is transforming the trajectory of cardiovascular disease, one of the leading causes of death globally. We are delighted to welcome the Shockwave team to Johnson & Johnson and look forward to bringing their innovative IVL technology to more patients around the world.”