London and Shanghai – On April 30, 2018, MicroPort Scientific Corporation (HK: 00853) ("MicroPort®") announced the closing of the transaction to acquire the Cardiac Rhythm Management ("CRM") Business from LivaNova PLC (NASDAQ:LIVN) ("LivaNova"). Upon completion of the acquisition, the acquired CRM Business is now officially rebranded as MicroPort® CRM. This acquisition is expected to establish MicroPort® CRM as the fifth largest CRM business in the world and make MicroPort® the most advanced domestic company in China with CRM know-how in the global CRM market.
MicroPort® will keep the CRM Business as a stand-alone business unit with manufacturing operations in Clamart, France; Saluggia, Italy; Santo Domingo, Dominican Republic; Shanghai, China. MicroPort® CRM will continue to develop, manufacture and market products for the diagnosis, treatment and management of heart rhythm disorders and heart failures, based on its legacy of having more than one million patients implanted globally over nearly four decades. MicroPort® CRM has approximately US$246 million in revenue in 2017 and over 900 employees globally.
The market size of the global CRM addressable market is approximately US$10 billion. In particular, the Chinese CRM market is growing rapidly at 11% per year due to an aging population and a highly underpenetrated patient population.
"Currently, there are over one million patients suffering from bradycardia in China with an estimated 300,000 to 400,000 new cases annually. With an increasingly more domestic companies such as MSC getting to master the core technologies to treat these patients, China will no longer solely rely on imports for pacemaker devices," said Dr. Li Wang, Chief Executive Officer of MicroPort Sorin CRM (Shanghai) Co., Ltd. ("MSC"), a wholly owned subsidiary of MicroPort®. In September 2017, MSC announced the approval of China Food and Drug Administration for its Rega™ Family Implantable Pacemakers, the first domestically manufactured pacemakers that meet international standards in China. Rega™ Family Implantable Pacemakers has three series (Orchidee™, Trefle™, and Rega™) with a total of eight models.
"This is an exciting transaction for the MicroPort® CRM team, our partners, our customers, our patients and the communities we operate in," said Benoit Clinchamps, President of MicroPort® CRM. "MicroPort® has a longstanding tradition for innovation and investment in R&D and I believe such philosophy will extend to MicroPort® CRM to help the CRM business reach its potential and increase its global scale."
"The CRM business is a key driver for MicroPort®'s future growth and has a robust pipeline with great potential in the global CRM market," said Dr. Zhaohua Chang, Chairman and Chief Executive Officer of MicroPort®, "We are committed to investing in the business to realize the full potential of its product pipeline and look forward to developing new, innovative solutions, with the purpose to serve more patients and thereby eventually earn a top ranking market share that the CRM technologies well deserve."
"With MicroPort® CRM, we have created a dynamic global CRM business platform for the benefit of patients globally and MicroPort®’s shareholders," said Jonathan Chen, Chief International Business Officer of MicroPort®. "We look forward to supporting the global CRM team with the resources required to achieve its strategic objectives."
LivaNova PLC is a global medical technology company built on nearly five decades of experience and a relentless commitment to improve the lives of patients around the world. LivaNova's advanced technologies and breakthrough treatments provide meaningful solutions for the benefit of patients, healthcare professionals and healthcare systems. Headquartered in London and with a presence in more than 100 countries worldwide, the company employs more than 4,500 employees. LivaNova operates as three business franchises: Cardiac Surgery, Neuromodulation and Cardiac Rhythm Management, with operating headquarters in Mirandola (Italy), Houston (U.S.A.) and Clamart (France), respectively.
For more information, please refer to: www.livanova.com