Stryker to Pick up K2M for $1.4B

Stryker has thrown in its bid to acquire one of the 25 most attractive medtech companies on the M&A radar. The Kalamazoo, MI-based company said it was acquiring K2M, a specialist in complex spine and minimally invasive, in a transaction $1.4 billion. Specifics of the deal show that Stryker has agreed to acquire all of the issued and outstanding shares of common stock of K2M in an all cash transaction for $27.50 per share. The purchase price represents a 27% premium over K2M’s average closing price during the 90 trading days ended Aug. 29, 2018. The deal is slated to close in late 4Q18. The move would help boost Stryker’s spinal division. “This acquisition underscores our commitment to the spinal market, which is the largest segment of Orthopedics with significant unmet needs,” Kevin Lobo, chairman and CEO of Stryker, said in a release. “We believe K2M will significantly enhance our presence with surgeons, patients and employees in both the spine and related neurotechnology markets.” Leesburg, VA-based K2M went public in 2014. The company is known for its Balance ACS platform of products, services, and research designed to help surgeons achieve three-dimensional spinal balance across the axial, coronal, and sagittal planes. K2M's Serengeti minimally invasive retractor system garnered a Medical Design Excellence Award in 2010 and was included later that year on MD+DI'...
Source: MDDI - Category: Medical Devices Authors: Tags: Business Orthopedics Source Type: news