Boston Scientific Acquires Penumbra for $14.5 Billion to Expand Vascular Portfolio

Boston Scientific Corp. has agreed to acquire Penumbra Inc. in a deal valued at $14.5 billion. The transaction will expand Boston Scientific’s cardiovascular portfolio and provide entry into mechanical thrombectomy and neurovascular segments according to the announcement. The companies announced the deal on January 15, 2026.

Under the terms of the agreement, Penumbra shareholders will receive either $374 in cash or 3.8721 shares of Boston Scientific common stock as part of the deal structure. This represents a 19% premium to Penumbra’s closing price on January 14 according to market data. The deal values Penumbra at $374 per share as reported.

The transaction is expected to close in 2026, subject to Penumbra shareholder approval and other customary closing conditions as stated. Boston Scientific said the acquisition will enhance its capabilities in vascular and neurovascular conditions according to the company's statement.

Why This Strategic Move?

Boston Scientific stated that the acquisition will expand access to Penumbra’s novel technologies, enhancing revenue and margins over time as reported. Penumbra specializes in devices that treat conditions such as pulmonary embolism, stroke, and deep vein thrombosis according to industry reports.

Cardiovascular diseases are a leading cause of death globally as noted. By acquiring Penumbra, Boston Scientific aims to address the growing demand for vascular treatments. The acquisition also aligns with Boston Scientific’s expansion strategy according to financial analysis.

What Are Analysts Watching Next?

Analysts are watching how the deal affects Boston Scientific’s earnings per share. The transaction is expected to be $0.06-0.08 dilutive to Boston Scientific’s adjusted earnings per share in the first full year following close as projected. However, it is expected to be neutral to slightly accretive in the second year according to analysts.

Boston Scientific plans to finance the cash portion of the deal using a combination of cash on hand and new debt as detailed. The company has strong cash flows, generating $3.82 billion in levered free cash flow over the last twelve months according to financial reports.

What Does This Mean for Investors?

Penumbra’s shares rose over 10% in premarket trading following the announcement as reported. Boston Scientific’s shares fell 4% in premarket trading according to market data. The market reaction reflects investor sentiment about the deal’s implications as observed.

Penumbra expects to report fourth quarter revenue growth of approximately 21.4% to 22.0% as stated. Analysts are optimistic about the long-term growth potential of this acquisition. Boston Scientific has a strong financial position and is rated as having “GREAT” financial health according to investment analysis.

Investors should also monitor the progress of the deal, as it is subject to shareholder approval and other customary closing conditions as reported. The acquisition is expected to be completed in 2026 according to the timeline.

The deal is part of Boston Scientific’s broader strategy to expand its portfolio. In recent months, the company has also acquired Valencia Technologies Corporation to enhance its urology portfolio as noted.

Overall, the acquisition of Penumbra represents a significant move for Boston Scientific to strengthen its position in the medical device market. The deal is expected to provide long-term value for shareholders and expand the company’s offerings in vascular and neurovascular treatments according to the company's announcement.