After a Drought, Medical Device Deals Are on the Rise

After a Drought, Medical Device Deals Are on the Rise

by | Oct 26, 2018 11:46 am | Medical Devices

The medical device market is making a comeback in 2018, after several years of steady but uninspiring performance. Through the end of October, 103 transactions have been announced. That’s still below last year’s total, but there are two months to go in the year. Deal volume in the third quarter reached 41 transactions, up 32% compared with the previous quarter and up 78% over the year-ago period. This quarter’s deals account for 34% of the 122 deals announced in the previous 12 months. Annual deal volume hit a peak of 194 transactions in 2007, and stayed well above 165 deals per year through 2011 (175 transactions). In 2012, mergers and acquisitions topped out at 145... Read More »
This Is (Not) Spinal Tap

This Is (Not) Spinal Tap

by | Sep 14, 2018 4:31 pm | Medical Devices

We’ve seen a rash of deals for all things spinal in recent weeks, from Stryker Corp.’s (NYSE: SYK) $1.4 billion deal for K2M Group (NASDAQ: KTWO) to IZI Medical’s acquisition of Benvenue Medical’s vertebral augmentation systems. What’s the occasion? Well, it’s that time of year when the big medical conferences loom. The Society for Minimally Invasive Spine Surgery (SMISS) took place in Las Vegas between September 6 and 8, and the North American Spine Society (NASS) do is about to get under way in Los Angeles from September 26 through the 29. On the smaller scale of targets is Maxim Surgical, based in Richardson, Texas, which was acquired by Fuse Medical... Read More »
This Is (Not) Spinal Tap

Stryker Strengthens Its Spinal Division with K2M Deal

by | Aug 31, 2018 12:56 pm | Medical Devices

Stryker Corporation (NYSE: SYK) announced its third deal of the year on August 30, acquiring K2M Group Holdings (NASDAQ: KTWO), based in Leesburg, Virginia. Stryker will pay $27.50 per share in an all-cash transaction. The purchase price of approximately $1.4 billion represents a 27% premium over K2M’s average closing price in the 90 trading days ended August 29, 2018. K2M shares rose nearly 26% on news of the deal, opening at around $27.40 per share on August 30, 2018. Stryker’s shares were down nearly 1%, to approximately $170. K2M makes complex and minimally invasive spine “solutions,” which are implants, disposables, and instruments primarily to hospitals for... Read More »