The medtech firm targets $500m in annual pre-tax savings by 2029 through supply chain and organizational changes.
Boston Scientific will launch a global restructuring program costing $700m to $800m, aiming to reduce annual pre-tax expenses by $500m by 2029. The plan includes supply chain optimizations, production line transfers, and organizational changes, with most activities expected to conclude by the end of 2029.
The company anticipates $600m to $700m in future cash outlays from the initiative, which was approved by its board on July 21 and disclosed in an SEC filing on July 27. While new jobs may be created, the restructuring will also lead to headcount reductions, though specific numbers were not provided.
Shares rose 2.85% to $45.51 on July 27, extending gains by another 2% at market open on July 28. Boston Scientific’s market capitalization stands at $67.64bn.