TransEnterix (NYSE:TRXC) said yesterday that it agreed to acquire Medical Surgery Technologies and its surgery planning technology in a two-stage deal worth nearly $33 million.
Yokneam, Israel-based MST makes Follow Me, a software package that uses image analytics, advanced visualization, scene recognition, artificial intelligence, machine learning and data analytics to plan robot-assisted surgeries. Follow Me won 510(k) clearance from the FDA in January 2016.
The for “substantially all” of MST’s assets covers the technology and intellectual property, plus an Israel-based R&D team that TransEnterix plans to transfer to its newly formed TransEnterix Israel subsidiary.
The first stage of the cash-and-stock deal consists of $5.8 million in cash and nearly 3.2 million TRNX shares, which would fetch $20.4 million at yesterday’s $6.47-per-share closing price. The second tranche of $6.6 million in either cash or stock is due, at TransEnterix’s sole discretion, within a year of closing, the company said.
“Adding innovative, novel technological capabilities to Senhance is a critical part of our long-term strategy as we work towards digitizing the interface between the surgeon and the patient,” president & CEO Todd Pope said in prepared remarks. “The addition of the MST technology to our Senhance platform will increase the effectiveness of surgeons, making procedures quicker and less error-prone, leading to better outcomes for the patient.”
“We are very excited to be partnering with TransEnterix, one of the leaders in surgical robotics who is pioneering the industry with their Senhance platform,” added MST CEO Motti Frimer. “The Senhance is a fantastic product with incredible potential, and we have a shared vision with TransEnterix of providing digital laparoscopy to better equip surgeons with innovative technologies that enhance their abilities, providing better quality, more consistent outcomes.”
Don’t miss TransEnterix CEO Todd Pope’s appearance at DeviceTalks Boston Oct. 10
The news sent TRXC shares up 2.3% to $6.62 apiece today.
