Derma Sciences pays $13m for Medihoney ahead of Integra buyout

Derma Sciences (NSDQ:DSCI) said last week that it paid $13.3 million for Medihoney, on the same day that Integra LifeSciences (NSDQ:IART) agreed to pay nearly $200 million for the tissue regeneration company. Prior to the acquisition, Derma Sciences held the exclusive global license for the Comvita-owned Medihoney brand and patents. Medihoney is eligible to receive an additional $5 million upon achievement of annual sales milestones, according to a regulatory filing. “Under Derma’s leadership, the Medihoney brand has grown to be the largest line of medical-grade honey products for advanced wound care use in the world, totaling global sales of approximately $20.0 million in 2016,” Derma Sciences’ executive chairman Stephen Wills said in prepared remarks. “What is important to Derma Sciences and to the healthcare professionals and patients who benefit from these important products, is security of supply. Under the terms of the deal, we have a new 10-year medical honey supply agreement with Comvita, which gives Derma Sciences cost certainty for the first 2 years and priority of medical honey supply with respect to its needs. Comvita has supplied us for more than a decade, and having the backing of Comvita, its supply chain, and related partnerships gives us the confidence to continue to invest in the growth of our Medihoney business.” Integra’s $7-per-share deal with Derma Sciences includes a portfolio of regenerative allograft products t...
Source: Mass Device - Category: Medical Equipment Authors: Tags: Mergers & Acquisitions Regenerative Medicine Wall Street Beat Wound Care Derma Sciences Inc. Integra LifeSciences Corp. Medihoney Source Type: news