Boston Scientific Abandons Israeli Startups

Boston Scientific will sell its stakes in startup companies, including those in Israeli startups such as superDimension, MEL Medical Enterprises, MediGuide, E-Pill Pharma, Beta O2 Technologies, Brainsgate and VisionCare Ophthalmic Technologies, according to Globes, in order to focus on its core business.

The medical device giant has invested nearly $6 billion in new technologies over the past five years but is refocusing to address the heavy debt caused, in part, by its acquisition of cardiology equipment giant Guidant for $27.7 billion. According to IVC, the company has also invested in Israeli venture capital funds, including Ascend, Medica Venture Partner, and Vitalife Life Sciences Venture.

The news may be troubling to those startups and VCs involved as Boston Scientific is a strategic partner with a vast network of connections and years of experience. Other medical device companies may buy up the shares at bargain prices, which would do little to provide crucial capital needed for development. The news may actually drive down the value of the startups themselves.

Boston Scientific announced intentions to invest nearly $100 million in Israeli startups in 2002. Let’s hope its huge selloff won’t be damaging to the Israeli biomedical industry.

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2 Responses

  1. It is interesting to see how BSCI is moving out of active start-ups to focus on its core technologies.
    In my opinion Boston Sci is taking two steps back in the right direction. it will take Boston Sci about 3 -4 years to get back on track. However, BSCI should not have abandoned the new technologies. This can be a great opportunity for competitors like MDT and J&J to grab the start ups.

    I am a founder of a novel medical device technology to treat obesity. I am looking for upto 15 angel investors to put in a min of $100,000 as seed money. This will be utilized to build the prototype, secure the IP, conduct animal studies and do first in man clinical studies. I have lined up a great consultant team.
    This is a great opportunity to get a return on investment of upto 10 times.
    By the time companies like Boston Sci are ready to invest again, we will be looking at our exit strategy.
    If any angel investors are interested in investing in this venture should contact me at 001-714-658-3039
    or email me at : accessclinicaltrials@yahoo.com
    Thank you.

    Raj NIhalani, MD, RAC(US)
    Irvine, Ca
    Cell: 001-714-658-3039

  2. BSCI IS JUST PLAIN SICK…& TIRED OF THE TYPICAL BS…WAY, THE MAJORITY OF TYPICAL LOCAL DIB’$…DO BIZ…& WITH THIER TYPICAL DUMB DOWN BACKWOODS SCREWBALL STYLE, SHENKIN STREET ARSIM / FRECHA ATTITUDES…& I GUESS THAT ENOUGH IS ENOUGH…PROMISES PROMISES…& CONSTANT BLAME GAME EXCUSES ON DELAYS DELAYS…JUST END UP BREAKING THE CAMELS BACK & THE GOOD GREAT HAND THAT FED ALL THEM WELL…& I’LL REGRETFULLY QUOTE A FORMER PRE WWII NAZI SYMPATHIZER, OLD POPPA JOE KENEDY…THAT “THEY ARE ONE OF THIER OWN WORST ENEMYS & THAT THEY HAVE BROUGHT A GREAT AMOUNT OF THE BURDON, UOPN THEMSELVES” & VERY UNFORTUNATELY, THAT IS MOST PROBABLY & ONLY % HONEST THING, ??? THAT EVER CAME OUT OF THAT VERY OBVIOUSLY CURSED MANS FAMILY’S MOUTH…& Another Cute Quote For The G’Day…
    “Rule No.1: Never lose money. Rule No.2: Never forget Rule No.1.” – Warren Buffett

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