NuVasive (NUVA) entered into a definitive agreement to acquire Biotronic NeuroNetwork, a U.S. provider of intraoperative neurophysiological monitoring services, for US $98MM in cash. The transaction is expected to enhance NUVA's spine service line capabilities for health system customers and is slated to close in 3Q16.
Biotronic reported 2015 revenue of >$50MM. The company ?supports >45,000 surgeries annually in >650 hospitals, providing real-time remote monitoring through proprietary software and a secure, virtual private network. NUVA presently offers intraoperative neurophysiological monitoring services through its subsidiary, Impulse Monitoring, which will be combined with Biotronic to form NuVasive Clinical Services. Per the company press release, with limited geographic overlap between Biotronic and IMI, NuVasive Clinical Services is expected to support >75,000 cases annually in the U.S.
The acquisition supports NUVA's strategies by
- supporting clinical fulfillment through enhanced surgical monitoring/oversight capabilities
- doubling the footprint of its U.S. service business, increasing coverage and capabilities in key complementary markets
- increasing the breadth of differentiated products/services offered to health systems
Sources: NuVasive, Inc., ORTHOWORLD Inc.
Other NUVA acquisitions in 2016 include Mega Surgical, its exclusive distributor in Brazil, and Ellipse Technologies, now functioning as NuVasive Specialized Orthopedics. Visit the NuVasive Quarterly Review page for a summary of strategic activity year-to-date.