Avanos Medical To Acquire OrthogenRx

By Julie A. Vetalice

Avanos Medical To Acquire OrthogenRx

Avanos Medical entered into a definitive agreement to acquire OrthogenRx, developer of viscosupplementation therapies for the treatment of knee osteoarthritis (OA) pain, for a total consideration of USD $160 million. The purchase price comprises $130 million in cash at closing plus an additional $30 million in contingent cash consideration, payable upon the achievement of growth milestones related to the company's commercial hyaluronic acid therapy products, GenVisc® 850 and TriVisc®.

The transaction is expected to close in Q1 2022. The company estimates that the new business will contribute approximately $65 million in 2022 revenue.

The addition of GenVisc 850 and TriVisc will complement Avanos' pain portfolio of COOLIEF* Cooled Radiofrequency treatment for knee OA. These injections can play a key role in the continuum of care for patients, often providing interim pain relief before transitioning to the next level of treatment options, including COOLIEF.

"The acquisition of OrthogenRx enhances our chronic pain portfolio by providing continuum of care treatment options for patients living with knee OA," said Avanos Chief Executive Officer Joe Woody. "This business is a clear strategic fit for Avanos, and one that will further strengthen our relationships with healthcare providers as we seek to become their preferred partner in treating musculoskeletal pain."

Source: Avanos Medical

Product Labels: Viscosupplement

Tags: M&A