Penumbra Inc. shares climbed to a new all-time peak during Thursday's trading session. The stock price movement followed an announcement from Boston Scientific Corporation regarding a definitive acquisition agreement.
Boston Scientific stated it will acquire Penumbra for $14.5 billion. The offer values each Penumbra share at $374, payable through a combination of cash and stock.
During intra-day trading, Penumbra stock rose to $352.15. It closed at $350.49, representing an increase of 11.82 percent for the session.
Under the agreement terms, Penumbra shareholders can choose to receive $374 in cash or 3.8721 shares of Boston Scientific common stock for each Penumbra share they hold.
The transaction completion is anticipated in 2026. It remains subject to regulatory approvals and customary closing conditions.
Upon deal closure, Penumbra Chairman and CEO Adam Elsesser will join the Boston Scientific board of directors.
"Penumbra is a well-established company with an experienced, high-performing team and this acquisition offers Boston Scientific an opportunity to enter new, fast-growing segments within the vascular space," said Boston Scientific Chairman and CEO Mike Mahoney.
He added, "The addition of Penumbra can expand access for these novel technologies to more patients and customers around the world, further enhancing our revenue and margins over time with proven offerings that have a history of growth and innovation."