Elutia Inc. (previously known as Aziyo Biologics, Inc.) announced on September 18 that it divested its Orthobiologics business unit to Berkeley Biologics LLC. Mizuho Securities USA LLC acted as advisor to Elutia.
According to data captured in the LevinPro HC database, this transaction marks the 110th Biotechnology transaction of the year.
Elutia will receive cash proceeds of up to $35 million, comprising an upfront payment at closing of $15 million plus potential earnout payments of up to $20 million over a five-year period. The transaction is expected to close in the fourth quarter of 2023.
Orthobiologics are therapies that can be used by orthopaedic specialists to relieve pain and shorten healing times. Elutia’s unit is making progress towards gaining U.S. Food and Drug Administration clearance for CanGaroo® RM, a lead drug-eluting product. Elutia’s pipeline also includes an RM version of its SimpliDerm® biomatrix for use in breast reconstruction procedures.
Berkeley Biologics LLC is entirely owned by GNI Group Ltd., a Japanese clinical stage drug development company.
