Edwards Lifesciences Corp. (EW) agreed to acquire Israel-based Valtech Cardio Ltd. for $340 million in stock and cash. The deal also includes provisions for an additional payment of $350 million over the next 10 years if certain milestones are met.

The deal is expected to close in early 2017, prior to which Valtech will spin off its early-stage transseptal mitral valve replacement technology program. Edwards Lifesciences also has an option to purchase that technology, which may take the total deal payout to $1 billion. (See also: The Appeal of Company Spinoffs.)

Valtech Cardio is a privately held company that develops the Cardioband System for transcatheter repair of the mitral and tricuspid valves. Mitral and tricuspid are valves in the heart which collectively control the flow of blood.

Valtech’s Cardioband System combines a reconstruction implant that facilitates the repair of mitral and tricuspid valves. Cardioband works by inserting a catheter, a flexible tube inserted through a narrow opening, into the vein.

Though the system is not approved in the U.S., it is considered a good product for heart valve repair. Valtech has received significant interest as an acquisition target in the past, thanks to its Cardioband System.

HeartWare International Inc. agreed to acquire Valtech in September 2015, but the transaction was later canceled. HeartWare was eventually acquired by Medtronic PLC (MDT) in August 2016.

Privately-held Valtech has raised around $100 million from multiple investors, including Peregrine Ventures fund, OXO Capital Valve Ventures and NGN Capital.

Edwards Lifesciences has shown interest in vying for mitral valve repair and replacement products. In 2015, it acquired CardiAQ Valve Technologies, which develops transcatheter mitral valve implantation systems.

It also made a strategic investment in transcatheter mitral valve repair company Harpoon Medical Inc. in December 2015, which includes an exclusive option to acquire Harpoon. (For more, see Edwards Lifesciences Corp: A Tick Above.)