Israeli medical device startup EndoStream Medical, headquartered in Or Akiva, has been acquired by Japanese conglomerate Kaneka Corporation, Calcalist reported on Thursday.
While the exact purchase amount remains undisclosed, the deal reportedly values EndoStream at approximately $100 million.
The acquisition also includes provisions for potential price increases tied to future sales milestones. This marks the first major acquisition by a Japanese company in Israel since the start of the war in October of 2023.
Founded in 2015 by CEO Danel Mayer and CTO Alon May, EndoStream Medical has developed a groundbreaking implant for treating cerebral aneurysms. The company employs 12 people and has raised around $5 million, with Peregrine Ventures as its sole venture capital backer, alongside a group of leading American neurosurgeons.
EndoStream’s flagship device, the “Nautilus,” offers a cutting-edge solution for a common yet life-threatening medical condition. Brain aneurysms affect approximately one in 50 people globally, often going undetected until a rupture causes severe brain bleeding.
Current treatments frequently require blood thinners, which can increase the risk of bleeding. The Nautilus device eliminates the need for blood thinners, providing a safer, more effective treatment option.
The Nautilus device is specifically designed to treat aneurysms with wide openings in cerebral blood vessels. Its unique structure can be used in combination with an embolization coil to block blood flow to the aneurysm, enabling treatment for cases previously considered challenging or untreatable with existing technologies.
Since its development, the device has been used to treat hundreds of patients worldwide. It received regulatory approval in Europe in November 2024, and plans are underway for approval and launches in the U.S. in 2026 and Japan in 2027, according to Calcalist.
Kaneka Corporation, based in Osaka and Tokyo, employs approximately 11,500 people globally and operates across four strategic sectors: materials, quality of life, health services, and nutrition. Its diverse portfolio includes medical devices, pharmaceuticals, life sciences, specialty chemicals, and electronics.
The acquisition of EndoStream aligns with Kaneka’s growth strategy in the health services sector. Together, the companies aim to generate over 20 billion yen in sales by 2030. The partnership will leverage Kaneka’s manufacturing expertise and EndoStream’s innovative technology to further enhance the Nautilus device and develop new medical devices targeting cerebrovascular diseases.
Under the terms of the acquisition, EndoStream will remain operational in Israel, serving as a development hub for Kaneka, noted Calcalist. All current employees will retain their positions, with plans to expand the team in the near future. The collaboration is expected to accelerate advancements in cerebrovascular treatments, ensuring that EndoStream’s groundbreaking technology reaches a global audience.