Medtronic is expected to announce this morning that it is entering the obesity market with the acquisition of Transneuronix, a company which makes an implantable stomach pacemaker. Minneapolis-based Medtronic will pay $260 million to take over Transneuronix, which has been in business since 1995. The deal will allow Medtronic to market the company's Transcend pacemaker, which it describes as a "gastric stimulator." Although the technology, which sends impulses to the brain telling it the stomach is full, is considered promising by many analysts, only about 700 of the devices have been implanted worldwide. Medtronic estimates the total cost of the procedure is between $20,000 and $30,000 per patient.
- see this story from The New York Times