Interventional radiology provider Merit Medical announces $105 million acquisition

Merit Medical Systems Inc., a supplier of interventional radiology equipment, announced Monday that it is acquiring certain assets from a rival company for $105 million.

South Jordan, Utah-based Merit is buying the rights to the EsophyX Z+ device from EndoGastric Solutions. The move expands Merit’s endoscopy portfolio by adding a minimally invasive solution for patients with chronic gastroesophageal reflux disease (GERD).

Leaders estimate that the transaction will add approximately $30 million in annual revenue, allowing Merit to enter the gastrointestinal endoscopy market while leveraging its existing commercial strength.

“This acquisition is consistent with our ongoing growth initiatives. It expands our product portfolio in existing clinical specialties while expanding our global presence in the multibillion-dollar gastroenterology market,” CEO Fred P. Lampropoulos said July 1. “We look forward to helping more patients by providing physicians with a long-term, minimally invasive treatment option for chronic GERD.”

EsophyX Z+ allows physicians to offer a non-pharmacologic alternative to treating GERD by restoring the body’s reflux barrier. EndoGastric Solutions generated about $26 million in product revenue last year. Lampropoulos and colleagues said they expect that trend to continue, with the acquisition adding $13 million to $15 million from the close date through the end of 2024.

Founded in 1987, the company specializes in the development, production and distribution of patented single-use devices used in interventional, diagnostic and therapeutic procedures. Merit Medical focuses on radiology, cardiology, oncology, critical care and endoscopy, employing approximately 7,000 people worldwide.