Medtronic is buying Chanhassen-based Cardiocom in an all-cash transaction valued at $200 million.
Cardiocom makes devices that allow caregivers to monitor the health of heart failure patients from their home. The company makes a scale that’s connected to the Internet to relay any changes in a patient’s weight, which can be a sign of trouble.
“With broad healthcare reform initiatives focused on growing economic challenges, healthcare systems in every region of the world are striving to continuously improve outcomes, increase access, save cost, and improve the efficiency of healthcare delivery,” said Omar Ishrak, Medtronic CEO.
With the acquisition of Cardiocom, “we will have the unique opportunity to combine our leading diagnostics, therapies and patient management solutions. This combination will strengthen our ability to partner with providers and payers to help them reduce cost and improve quality.”
Nearly 6 million people in the U.S. have heart failure, a condition which costs the nation $34.4 billion a year in health care services, medications, and lost productivity, according to the Centers for Disease Control and Prevention.