Japanese giant Kaneka acquires EndoStream Medical in $100 million deal
Japanese giant Kaneka acquires EndoStream Medical in $100 million deal
Israeli-developed implant eliminates the need for blood thinners in aneurysm treatment.
The Israeli medical device startup EndoStream Medical, based in Or Akiva, has been acquired by the Japanese conglomerate Kaneka Corporation, Calcalist has learned. While the purchase amount remains undisclosed, it is estimated that the deal was made at a company valuation of $100 million. The agreement also includes potential increases in the acquisition price contingent on future sales milestones. This marks the first significant acquisition by a Japanese corporation in Israel since the outbreak of the war in October 2023.
Founded in 2015 by Danel Mayer (CEO) and Alon May (CTO), EndoStream employs 12 people and has raised approximately $5 million to date. Its sole venture capital backer is Peregrine Ventures, joined by a group of prominent American neurosurgeons. The company specializes in developing an innovative implant for the treatment of cerebral aneurysms.
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EndoStream Medical founders Danel Mayer (CEO) and Alon May (CTO).
(Photo: Elad Naftali)
EndoStream's implant has been used in hundreds of patients globally and offers a groundbreaking solution for a prevalent medical condition. According to medical literature, one in 50 people will develop a brain aneurysm during their lifetime. Most aneurysms are only detected after causing brain bleeding, and current treatments typically require blood thinners, which can exacerbate the bleeding. EndoStream’s technology eliminates the need for blood thinners and anticoagulants, offering a safer and more effective alternative for these patients.
EndoStream’s device for the treatment of cerebral aneurysms called “Nautilus” can treat aneurysms with wide openings in cerebral blood vessels. The device has a special structure that can be used in combination with an aneurysm embolization coil to block blood flow to the aneurysm, facilitating treatment that would otherwise be difficult with existing devices.
The product received regulatory approval in Europe in November 2024, with plans for approval and launch in the United States in the spring of 2026 and in Japan one year later.
Both companies jointly aim to achieve sales of over 20 billion yen by 2030.
Kaneka Corporation, headquartered in Osaka and Tokyo, employs approximately 11,500 people across its global operations. The company operates in four strategic sectors: materials, quality of life, health services, and nutrition. Its portfolio spans diverse industries, including medical devices, pharmaceuticals, life sciences, specialty chemicals, and electronics.
The merger will leverage Kaneka’s manufacturing capabilities and EndoStream’s cutting-edge technology. The two companies plan to continue developing EndoStream's implant and collaborate on new medical devices, focusing primarily on treatments for cerebrovascular diseases. EndoStream will remain operational in Israel, becoming a development hub for Kaneka. All existing employees will retain their positions, and the company is expected to hire additional staff.
Peregrine Ventures, founded in 2001 by Eyal and Boaz Lifschitz, is Israel's leading life sciences investor. The fund manages $600 million across five investment funds, supporting biotech, medical device, and digital health companies at all stages. According to Startup Nation Central's Health Tech 2024 Map, Peregrine was Israel’s most active health-tech investor in 2024, with 15 investments in the sector.
