FTC Files Lawsuit to Block Edwards Lifesciences' Purchase of JenaValve Technology

By Kelly Cloonan

The Federal Trade Commission has moved to block Edwards Lifesciences' proposed acquisition of medical-device company JenaValve Technology.

The FTC said in a complaint filed Wednesday the acquisition would limit competition in the aortic regurgitation device market, curbing innovation and potentially raising prices for U.S. consumers.

Edwards and JenaValve are the only two companies currently conducting clinical trials on transcatheter aortic valve replacement devices to treat aortic regurgitation in the U.S., the FTC said.

At least 8 million Americans over age 50 suffer from AR, a condition in which the heart's aortic valve doesn't close properly, causing blood to backflow into the heart, the FTC said.

Edwards said it disagrees with the FTC's decision, given it would limit the availability of an important treatment option for patients suffering from AR.

The Irvine, Calif., company said it would continue to pursue regulatory approval of the acquisition and estimates a final determination by the end of the first quarter of 2026, it said.

Edwards also said it now expects adjusted earnings per share of $2.45 to $2.55 for the full year, up from its prior forecast of $2.40 to $2.50.

There would be minimal effect on the company's adjusted earnings-per share guidance for the third quarter, it said. Analysts polled by FactSet expect adjusted earnings of 59 cents a share for the quarter.

The company also reiterated its prior outlook for full-year revenue growth of 9% to 10%. Analysts expect revenue of $5.98 billion for the period.

Write to Kelly Cloonan at kelly.cloonan@wsj.com