SciSparc Acquires MUSE Endoscopy Patent Portfolio to Enter $2.5 Billion GERD Device Market
Key Insights
SciSparc Ltd. signed a definitive agreement to acquire a comprehensive patent portfolio for endoscopic technologies from Xylo Technologies, including the MUSE single-use endoscopic system for treating gastroesophageal reflux disease (search).
The acquisition will be completed through issuing ordinary shares representing 19.99% of SciSparc's outstanding capital, with closing expected by March 8, 2026, subject to regulatory approvals.
The company plans to commercialize the MUSE system (search) globally through exclusive regional partnerships in North America, Europe, and Latin America, targeting the $2.5 billion GERD (search) device market projected to reach $3.03 billion by 2030.
SciSparc Ltd. (NASDAQ:SPRC) announced a strategic expansion into the medical device sector through a definitive agreement to acquire a comprehensive portfolio of endoscopic patents and intellectual property from Xylo Technologies Ltd. (search) The acquisition centers on the MUSE system (search), a single-use endoscopic device designed for transoral fundoplication procedures to treat gastroesophageal reflux disease (search) (GERD (search)).
Strategic Acquisition Details
The clinical-stage pharmaceutical company, operating through its majority-owned subsidiary NeuroThera Labs Inc. (search), will acquire patents, trademarks, and related intellectual property rights covering innovative endoscopic systems and medical imaging technologies. Under the agreement terms, SciSparc will issue ordinary shares representing 19.99% of its outstanding share capital as of the closing date, scheduled for March 8, 2026.
The company retains the option to issue pre-funded warrants in place of some or all shares at its discretion. The transaction remains subject to customary closing conditions, including necessary regulatory approvals.
Commercial Strategy and Market Opportunity
SciSparc plans to begin immediate commercialization of the acquired technologies following transaction closure. The company intends to replicate Xylo's previous commercial success model, which included a 2019 licensing and distribution agreement with a Shanghai-based medical instruments company that generated $3 million upfront for Greater China commercialization rights.
The expansion strategy focuses on pursuing exclusive regional distribution partnerships across North America, Europe, and Latin America to accelerate global commercialization and establish new revenue streams. This approach leverages SciSparc's existing distribution success models while extending the company's presence into the medical device space.
Market Dynamics and Growth Projections
According to market research data cited by SciSparc, the global GERD (search) device market was valued at $2.5 billion in 2024. The market is projected to reach $3.03 billion by 2030, reflecting a compound annual growth rate of 3.24% from 2025 to 2030. This growth is driven by increasing demand for innovative endoscopy systems and minimally invasive treatment options.
Broader Corporate Portfolio
While expanding into medical devices, SciSparc continues advancing its pharmaceutical programs focused on cannabinoid-based therapeutics (search). The company's pipeline includes candidates targeting Tourette syndrome (search), Alzheimer's disease (search) agitation, autism spectrum disorder (search), and status epilepticus (search). Additionally, SciSparc maintains a controlling interest in a subsidiary that sells hemp seed oil-based products through the Amazon.com Marketplace.
Market Response
SciSparc shares experienced significant volatility following the announcement, with pre-market trading showing a 37.55% increase to $1.99. The stock has traded in a range between $1.25 and $17.82 over the past year, reflecting the company's dynamic positioning in both pharmaceutical and technology development sectors.