Boston Scientific to take over Medinol?

Boston Scientific Corp is reported to being close to acquiring the 80%stake it does not already own in the Israeli medical devices firm Medinol. According to an article in the Wall Street Journal, negotiations begun last summer have intensified in recent weeks, and proposed terms are in the range of about $1.5-$2 billion in cash and stock. However, the newspaper reports that the gap between what the Tel Aviv-based company wants and what Boston Scientific is willing to pay remains "significant," according to people close to the talks.

Previously, Medinol was thought to have been demanding $6-$7 billion as the price it would accept for the 80% stake; however, the Israeli company has come down in recent weeks. Under a 10-year contract, with five years remaining, Medinol gets about 25%-30% of Boston Scientific's stent revenue, but the latter's share in that market has slipped considerably in the past year.