Blackstone group, one of the largest private equity firms, has invested USD 337 million in Medtronic Plc, the global leader in medical technology solutions. The announcement was made at the 80th Scientific Session of American Diabetes Association and the funding will be managed by Life Science division of the Blackstone group and will target towards developing innovative products for the management of patients with Type 1 Diabetes more specifically the Continuous Glucose Monitoring (CGM) product pipeline programs.
Under the collaboration, Blackstone will fund four predetermined research projects over the coming years. While Medtronic will perform all the clinical studies involved, the expenses will be handled by investors. On successful commercialization of projects, Medtronic will pay royalties on sales to the Blackstone group. This collaboration marks the first of its type investment for Blackstone for carving into lifesciences and more specifically the medical device segment.
Lately, Medtronic has made significant investment in developing insulin delivery and sensors for improving the quality of life of diabetic patients. Some of their remarkable products include MiniMed 780 G insulin pump, Personalized Closed Loop (PCL) system, Zeus & Synergy sensors and extended wear infusion set.