Key insights
- Medtronic's acquisition of SPR Therapeutics for $650 million expands its neuromodulation portfolio with a non-permanent pain management solution. While the deal itself is unlikely to move the broad market, it signals Medtronic's strategic focus on growth areas and its continued financial stability, supported by a long dividend history. The stock is trading near its 52-week low and may present a buying opportunity.
GALWAY, Ireland - Medtronic plc (NYSE:MDT) announced today its intent to acquire SPR Therapeutics, Inc., a privately held medical technology company specializing in temporary peripheral nerve stimulation therapies for chronic pain management, for approximately $650 million in cash.
The acquisition will add SPR’s FDA-cleared SPRINT PNS System to Medtronic’s neuromodulation portfolio. The system provides a 60-day therapy designed to deliver pain relief through temporary treatment without requiring a permanent implant.The deal comes as Medtronic, with a market capitalization of $100.9 billion, trades near its 52-week low at $78.58, down roughly 17% year-to-date. According to InvestingPro analysis, the stock appears undervalued relative to its Fair Value, suggesting potential upside for investors as the company expands its pain management portfolio.
Chronic pain affects nearly 50 million U.S. adults, according to the press release statement. The SPRINT PNS System has been used in a retrospective review involving more than 6,100 patients, which showed over 71 percent of participants demonstrated significant pain relief or improvement in quality of life following the 60-day treatment.
"The addition of temporary peripheral nerve stimulation helps broaden access to neuromodulation and supports patients across more stages of the chronic pain journey with a minimally invasive therapy," said Domenico De Paolis, Interim President Neuromodulation at Medtronic.The medical device giant has maintained dividend payments for 50 consecutive years, currently offering a 3.61% yield—a testament to its financial stability as it pursues strategic acquisitions. InvestingPro subscribers can access 10 additional exclusive tips about Medtronic, plus a comprehensive Pro Research Report covering the company’s growth prospects and competitive positioning.
Maria E. Bennett, President and Chief Executive Officer of SPR Therapeutics, stated the agreement "marks a pivotal step forward" for the company.
The transaction is subject to customary closing conditions and regulatory approvals. Medtronic expects to close the acquisition during the first half of its Fiscal Year 2027, which began on April 25, 2026. Both companies will continue to operate independently until the transaction closes.
Medtronic, headquartered in Galway, Ireland, employs more than 95,000 people across over 150 countries. The company manufactures medical technologies including cardiac devices, surgical robotics, and insulin pumps.
In other recent news, Orchestra BioMed Holdings Inc. announced the receipt of a $20 million investment from Medtronic plc. This investment is part of a previously disclosed strategic financing agreement and will support Orchestra BioMed’s BACKBEAT Global Pivotal Trial. The trial focuses on Atrioventricular Interval Modulation Therapy for patients with uncontrolled hypertension who require a pacemaker. Orchestra BioMed aims to complete enrollment for this trial by the end of the third quarter of 2026, with results expected to be presented in 2027.
Meanwhile, Medtronic plc has received CE mark approval for its Stealth AXiS surgical system, allowing the company to market the platform across Europe. This system integrates planning, navigation, and robotics capabilities for spine and cranial procedures. Additionally, Medtronic reported a cybersecurity breach affecting its IT systems, but stated that the incident did not impact its products, patient safety, or operations. The company engaged external cybersecurity experts to assist with the investigation and remediation efforts.
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