Elutia to sell bioenvelope products to Boston Scientific for $88 million

Published 09/09/2025, 13:46
Elutia to sell bioenvelope products to Boston Scientific for $88 million

GAITHERSBURG, Md. - Elutia Inc. (NASDAQ:ELUT) announced Tuesday it has entered into a definitive agreement to sell its EluPro and CanGaroo bioenvelopes to Boston Scientific Corporation (NYSE:BSX) for $88 million in cash. Boston Scientific, currently valued at $160 billion, is a prominent player in the Healthcare Equipment & Supplies industry according to InvestingPro data, with the stock trading near its 52-week high of $108.94.

The transaction, expected to close in the fourth quarter of 2025, will transfer ownership of these products designed to protect patients receiving implantable medical devices.

According to the company’s press release, the deal will enable Elutia to eliminate outstanding debt and substantially resolve litigation from its previously divested Orthobiologics business.

"With the successful launch of EluPro, seven national group purchasing organization contracts secured and more than 160 value analysis committee approvals, we have shown that we can develop, manufacture and commercialize these highly regulated breakthrough products," said Dr. Randy Mills, CEO of Elutia.

The company stated the proceeds will fund the advancement and commercialization of its NXT-41 product line for breast reconstruction without requiring additional shareholder dilution.

Following the transaction, Elutia plans to focus resources on its SimpliDerm franchise and drug-eluting pipeline targeting the $1.5 billion U.S. breast reconstruction market.

BofA Securities is acting as financial advisor to Elutia in the transaction, which remains subject to customary closing conditions.

The company will provide further updates at the H.C. Wainwright 27th Annual Global Investment Conference on Wednesday, September 10.

Elutia develops drug-eluting biomatrix products designed to improve compatibility between medical devices and patients.

In other recent news, Boston Scientific has seen significant developments across various fronts. Truist Securities raised its price target for the company to $125, maintaining a Buy rating, following a strong quarterly performance. This quarter was highlighted by impressive earnings, particularly in the PFA and Watchman growth segments. Oppenheimer also upgraded Boston Scientific from Perform to Outperform, citing the company as one of the top large-cap MedTech growth stories, with a price target of $125. This upgrade is attributed to Boston Scientific’s disciplined mergers and acquisitions strategy and strong execution, especially in its electrophysiology franchise.

Additionally, Boston Scientific announced the upcoming retirement of Jeffrey B. Mirviss, Executive Vice President and President of Peripheral Interventions, effective December 1, 2025. Mirviss will continue as a senior advisor until February 27, 2026. Meanwhile, the U.S. Food and Drug Administration disclosed a high-risk issue with Boston Scientific’s defibrillation leads, which has been associated with patient deaths. The company has informed customers about potential impacts on shock efficacy and the need for early replacements.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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