Inari Medical to acquire privately held LimFlow for $250M in cash

Inari Medical announced that it has entered into a definitive agreement to acquire LimFlow a privately held pioneer in limb salvage for patients with chronic limb-threatening ischemia CLTI . Under the terms of the agreement, Inari will pay $250M in cash at closing and LimFlow will be eligible to receive additional cash payments based on certain commercial and reimbursement milestones. The transaction is expected to close in the fourth quarter of 2023. LimFlow is transforming the treatment of CLTI, an advanced stage of peripheral artery disease that is associated with increased mortality, risk of amputation and impaired quality of life. CLTI is a large and underpenetrated market, impacting more than 1.5M patients each year globally, approximately 560,000 of which are in the United States. CLTI represents one of the most significant unmet needs in vascular medicine. The minimally-invasive LimFlow System is designed to bypass blocked arteries in the leg and deliver oxygenated blood back into the foot via the veins in no-option CLTI patients, those who are facing major amputation and have exhausted all other therapeutic options…Total upfront consideration is $250M paid in cash upon closing. Contingent consideration of up to $165 million in additional cash payments are subject to the achievement of certain commercial and reimbursement milestones. The earliest potential payment would be due in 2025. The acquisition is subject to customary closing conditions and is expected to be completed in the fourth quarter of 2023. Financing of the transaction at closing is expected to be with cash on hand and borrowings under existing credit facilities.