Boston, Jan 15, 2026, 08:19 (EST)
- Boston Scientific struck a deal to buy Penumbra for roughly $14.5 billion, putting the per-share price at $374
- Penumbra shares surged over 13% in premarket action, with the offer pricing at a 19.3% premium to Wednesday’s closing price
- The deal expands Boston Scientific’s presence in catheter-based clot removal and neurovascular devices
Boston Scientific announced Thursday it will acquire medical device maker Penumbra for roughly $14.5 billion in a cash-and-stock transaction, valuing Penumbra at $374 per share. Penumbra’s shares jumped over 13% in premarket trading. The offer comes at a 19.3% premium to Penumbra’s previous close, Reuters reported. (Reuters)
The deal is significant as it drives Boston Scientific further into a vascular medicine segment that’s attracting investment and competition. With procedure volumes climbing and hospitals favoring less invasive treatments, device makers are betting heavily on cardiovascular growth.
Penumbra’s main focus is thrombectomy, a catheter-based method for removing blood clots, along with neurovascular procedures. This positions the company squarely in the urgent treatment arena for conditions like stroke and pulmonary embolism.
Penumbra shareholders will get a choice of $374 per share in cash or 3.8721 Boston Scientific shares, with the combined payment split roughly 73% cash and 27% stock, the companies announced. Boston Scientific plans to cover the $11 billion cash portion through existing funds and new debt. The deal is projected to hit adjusted EPS by $0.06 to $0.08 in the first full year after closing. Penumbra CEO Adam Elsesser will join Boston Scientific’s board post-deal. Boston Scientific CEO Mike Mahoney described the move as a chance to break into fast-growing vascular markets, while Elsesser highlighted Penumbra’s focus on “novel solutions to transform patient care.” (PR Newswire)
Boston Scientific is counting on Penumbra’s clot-removal devices to gain traction through its wider sales and distribution network, particularly overseas. The potential payoff: expanded reach, increased product adoption, and a more diverse lineup of tools in the cath lab.
The price, however, is the price. Boston Scientific is relying heavily on debt to cover a large portion of the cash, and it’s already warning of an earnings hit immediately after the deal closes, with improvement only anticipated down the line.
Competition isn’t standing still. Big players like Medtronic and Abbott already dominate the cardiovascular device market, and hospitals usually settle on platforms quickly after training and procurement processes are complete.
The deal carries the standard hurdles: shareholder sign-off, regulatory green lights, and potential delays in integration. If procedure growth stalls, pricing tightens, or the sales team handoff gets tangled, the buyer might have to shoulder dilution for an extended period.
