Primo Medical Group announced that it completed the $100 million sale of spin-off company Arthrosurface to Anika Therapeutics (NSDQ:ANIK).
Under the agreement, Anika is set to acquire all outstanding shares of Arthrosurface in exchange for $100 million in total, starting with an upfront payment of approximately $60 million in cash from Anika’s existing balance sheet. The remaining $40 million is contingent upon the successful achievement of certain regulatory and commercial milestones.
The companies expect the transaction to be completed in February. Once completed, it will mark the third successful start-up exit for Primo Medical Groups, according to a news release.
“To know we made a positive impact in the global market for medical devices is one of the most rewarding moments in the life cycle of medical device development,” Primo Medical Group president Steven Tallarida said in the news release. “This acquisition proves the product value our teammates have tirelessly worked to create.”
“We are thrilled with the synergy and resources Anika will bring to Arthrosurface to expand the reach of its current network,” added Primo Medical Group senior EVP Andrea Patisteas. “Anika is the right partner to help Arthrosurface continue to grow well into the future. It’s also important to mention Boston Millennia Partners, a private equity financing firm, for its support to Arthrosurface over the years.”
Franklin, Mass.–based Arthrosurface develops orthopedic devices and implants, including toe fixation systems, shoulder arthroplasty systems and more.
