Irish medical technology firm Medtronic has agreed to acquire robotic guidance systems provider Mazor Robotics for around $1.64bn.
As per terms of the deal, Medtronic will purchase all outstanding ordinary shares of Mazor Robotics for $58.50 per American depository share or $29.25 per ordinary share.
Mazor Robotics CEO Ori Hadomi said: “Today is a historic day for spine surgery and a defining event in the market’s evolution, and I want to acknowledge and thank all of those whose contribution and faith have been so critical and impactful to our success.”
The to be acquired company’s core platform technology includes Mazor X robotic guidance system and Renaissance surgical-guidance system. Both are helpful in carrying out efficient spinal surgery with freehand procedures.
By aggregating Medtronic’s spine implants, navigation, and intra-operative imaging technology with Mazor’s robotic-assisted surgery (RAS) systems, the Irish firm can provided a fully-integrated procedural solution for surgical planning, execution and confirmation.
Mazor’s core technology is said to secure over 15 US Food and Drug Administration clearances and served as subject for more than 60 publications.
The acquired business will allow Medtronic to provide advanced technologies for spine surgery, as well as commercialize Mazor Robotics’ core technology in global market.
The current deal is based on multi-phased strategic and equity investment agreement between Medtronic and Mazor, which was signed in May 2016.
In August 2017, Medtronic expanded the partnership to serve as the exclusive worldwide distributor of the Mazor X system.
Subject to the satisfaction of customary closing conditions, the deal is expected to complete in Medtronic’s third fiscal quarter.
Medtronic is planning to present the technology integration at this year’s North American Spine Society (NASS) annual meeting in Los Angeles.
Medtronic restorative therapies group president and executive vice president Geoff Martha said: “We believe robotic-assisted procedures are the future of spine surgery, enhancing surgeons’ abilities to perform complex procedures with greater precision, consistency and control.
“Medtronic is committed to accelerating the adoption of robotic-assisted surgery and transforming spine care through procedural solutions that integrate implants, biologics and enabling technologies.”