Boston Scientific makes £3.3 billion bid for UK's BTG

US medical device maker Boston Scientific (NYSE: BSX) today announced it has reached an agreement on the terms of a recommended offer to acquire UK-based BTG (LSE: BTG), a company which develops and commercializes products used in minimally-invasive procedures targeting cancer and vascular diseases, as well as acute care pharmaceuticals.

The transaction has been unanimously approved by the boards of directors of Boston Scientific and BTG. Under the terms of the transaction, holders of BTG's common shares would receive a cash consideration of 840 pence per share, which represents a premium of 36.6% to BTG’s close of 615 pence on Monday.

BTG’s shares shot up 34.07% to 824.50 pence by 9.30 this morning. Shares of Boston Scientific were down 5.16% at $35.29 by close on Monday, but that was likely a response to the company saying that, in 2019, it will reduce operating expenses by $100 to $150 million by the end of 2022. The restructuring will support a push toward improving operating performance and sustainable value.