A day after shareholders of Mako Surgical (NSDQ:MAKO) approved the deal, Stryker (NYSE:SYK) said it closed the $1.68 billion acquisition of the Ft. Lauderdale-based robotic surgery company.
Mako, founded in 2004, pushed robotic surgery into the orthopedics space with its Rio device and technologies for knee and hip replacement surgery. The $30-per-share price Kalamazoo, Mich.-based Stryker agreed to in September was an 85.5% premium over Mako shares’ $16.17 closing price the day before the deal was announced.
"We’re excited to welcome Mako into our organization and combine their expertise in robotic arm assisted surgery with Stryker’s innovations in joint reconstruction to further advance the growth of this compelling technology. The long-term potential offered by this technology platform holds the promise of transforming reconstructive surgery, increasing patient satisfaction and enhancing the experience for surgeons and hospitals," Stryker president & CEO Kevin Lobo said in prepared remarks.
Stryker said the deal is expected to dilute adjusted earnings per share by 10¢-12¢ during the 1st year, with no effect during the 2nd year and accretion coming after that.
Mako’s shareholders gave their OK yesterday.
News of the deal, announced Sept. 25, sent shares prices up for other robotic surgery firms including industry leader Intuitive Surgical (NSDQ:ISRG), whose stock rose by 1.5%, to $369.36 each as of about 9:50 a.m. Sept. 25. Shares of Hansen Medical (NSDQ:HNSN) were up 16.1% to $1.87 apiece by then, with Accuray‘s (NSDQ:ARAY) stock climbing 1.7% to $7.11 per share.
SYK shares were trading at $71.32 apiece as of about 10:50 a.m. today, down 0.2%.
