Intuitive
(Nasdaq: ISRG)
announced today that it plans to establish a direct presence in Italy, Spain and Portugal.
The surgical robotics leader also plans to expand into Malta, San Marino and associated territories by acquiring the da Vinci and Ion distribution businesses in those countries.
Intuitive entered into an agreement with current distributors ab medica, Abex, Excelencia Robotica and their affiliates. Subject to regulatory approvals, the agreement enables Intuitive to purchase those distributors’ Intuitive product-related business. The company expects the deal to close in 2026, following the receipt of approvals and the meeting of closing conditions.
“Intuitive is excited to continue to invest in the significant opportunity to bring safe, minimally invasive care to more patients across Europe. Having a direct presence in Italy, Spain, Portugal, Malta, and San Marino, and associated territories allows us to deepen our understanding of unique customer needs in these countries,” said Intuitive CEO Gary Guthart.
Once the company closes the deal, it will wholly own the da Vinci and Ion business of the three distributors. It plans to integrate business operations into its European commercial and marketing organization. SVP and GM Dirk Barten leads that unit.
“Intuitive is grateful for the years of strong business and dedication these companies have provided—their leadership has helped establish robotic technology with physicians and their patients in Europe,” said Barten. “We look forward to integrating these teams upon deal closure. Developing direct relationships with customers in these countries is critical for building greater patient access to minimally invasive care.”
Questions over Intuitive’s business abroad
Away from Europe, analysts today raised questions around another international unit belonging to Intuitive.
BTIG analysts Ryan Zimmerman and Iseult McMahon are wondering what potential tariffs under the new Trump Administration would mean for Intuitive. (Read more about the potential impact of the Trump Administration on medtech here.)
Trump called for 25% tariffs on goods coming to the U.S. from Canada and Mexico on Feb. 1. The analysts note that it could prove a negotiating tactic for other initiatives, but they want to understand the EPS impact increased tariffs would have on Intuitive, which has a manufacturing facility in Mexicali, Mexico. The analysts say around 90% of the company’s instrument and accessory product production takes place there.
However, the analysts still don’t know if tariffs would apply to all products coming out of Mexico for Intuitive. They wonder if it applies just to products shipped back and sold in the U.S. If so, they say it would reduce the exposure to around 70% of the estimated impact.
Based on their assessment, the analysts estimate up to an incremental 6% EPS headwind for 2025. If the mitigations related to products sold in the U.S. apply, they expect around 4.2% headwinds. They plan to update their model when the company releases its fourth-quarter earnings on Thursday, Jan. 23.
