London-based Smith+Nephew said in a news release that the acquisition will significantly strengthen its extremities business by adding a combination of a focused sales channel and complimentary shoulder replacement and upper and lower extremities portfolios, plus a new product pipeline.
Integra’s commercial sales force that Smith+Nephew will inherit focuses predominantly in the U.S. with additional sales and distribution in Canada and Europe.
The inherited portfolio includes devices, implants and instruments designed for shoulder replacement and reconstruction of bone in the hand, wrist and elbow, along with the foot and ankle. Additionally, the pipeline includes a next-generation shoulder replacement system expected to be ready for full commercial launch in 2022.
Smith+Nephew expects around 300 employees to join once the acquisition is completed, with the business operating from facilities in Austin, Texas and Lyon, France. The purchase is expected to close around the end of 2020. The transaction will be financed by existing cash and debt facilities.
“Integra’s Extremity Orthopaedics business is an established global player in the rapidly growing extremities segment, including total shoulder replacement, and has a well-regarded specialized sales channel and a strong pipeline of new products,” Smith+Nephew president of global orthopedics Skip Kiil said in the release. “This strategic acquisition represents a significant opportunity to strengthen Smith+Nephew’s position in a high-value area and allows us to offer a leading extremities portfolio to customers.”
Added Integra SVP of extremity orthopedics Peter Ligotti: “We are excited for the opportunities ahead as we continue to advance orthopedic innovations for our customers and improve patient outcomes.”