Dutch consumer electronics giant Philips Electronics NV has signed an accord to buy EPD Solutions, an Israeli maker of cardiac imaging and navigation systems for treatment of heart rhythm disorders, for 250 million euros ($294 million) and milestone payments.
The Dutch firm said on Tuesday that the deal would be in cash, followed by additional payments of some €210 million in payments dependent on milestones. On completion of the deal, EPD and its employees will become part of Philips’ Image-Guided Therapy business.
The deal will further expand Philips’ image-guided therapy business and its portfolio of interventional imaging systems, smart catheters and planning and navigation software. Philips bought heart disease devices maker Spectranetics last year for billions of dollars, and the vascular imaging company Volcano in 2015.
EPD Solutions, based in Caesarea and registered in the British Virgin Islands, has developed technology that allows image-guided procedures to treat cardiac arrhythmias and heart rhythm disorders. EPD’s cardiac imaging and navigation system helps electrophysiologists find their way to the heart, creating detailed 3D images, while also monitoring the location of catheters during procedures to detect and treat cardiac arrhythmias.
Philips said this technology has the potential to simplify navigation and treatment, immediately assess the treatment result and increase procedure efficacy.
The Israeli company was founded by serial entrepreneur Prof. Shlomo Ben-Haim, a developer of the real time 3D electro-anatomical cardiac mapping system CARTO, which has become a standard in the field of guided catheter-based therapeutic arrhythmia management. Ben-Haim’s most notable exit to date was the sale of his company Biosense to Johnson & Johnson for $427 million in 1997, according to the company’s website.