AtriCure Completes Acquisition of Estech
AtriCure, Inc. (Nasdaq: ATRC), a leading Atrial Fibrillation medical device provider, announced on January 2, 2014, the completion of the previously announced acquisition of Endoscopic Technologies, Inc. d/b/a Estech (“Estech”). Estech develops and markets a portfolio of innovative surgical ablation devices that enable physicians to perform a variety of traditional and minimally invasive procedures using Estech’s proprietary temperature controlled RF energy.
“We are pleased to complete the acquisition of Estech, and we welcome the team to AtriCure. This transaction provides substantial benefits to AtriCure and strengthens our leadership position in the atrial fibrillation market; we are excited about the opportunities that our combined businesses will bring to our customers,” said Mike Carrel, President and Chief Executive Officer of AtriCure.
AtriCure expects that the transaction will increase sales and marketing expense as well as research and development expenditures in order to accelerate clinical development and commercial sales of the combined product portfolio. While these expenses will increase on absolute dollar basis, AtriCure expects these expenses to decrease as a percentage of sales beginning in 2015. AtriCure expects the transaction to be dilutive to earnings in 2014 and accretive in 2015 and beyond.