Medical Devices Acquisitions in 2019

LABORIE Medical Technologies, a Patricia Industries portfolio company, has completed the acquisition of Clinical Innovations from funds managed by EQT for an enterprise value of $525 million. Clinical Innovations, headquartered in Salt Lake City, Utah, is a leading provider of single-use medical devices for labor & delivery and neonatal intensive care and will form a stand-alone Maternal and Child Health global business unit within LABORIE.

IZI Medical Products, LLC, a Shore Capital Partners-backed interventional radiology device platform, acquired RadioMed Corporation and its VISICOIL fiducial marker product family from IBA S.A. The purchase is an add-on to IZI’s portfolio—its fourth add-on in 24 months—and is intended to expand IZI’s imaging marker and interventional oncology offerings through RadioMed’s distribution channels and IZI’s direct sales force.

Aspen Surgical Products, Inc., a PE-backed manufacturer of surgical disposables, has acquired Beatty Marketing & Sales LLP, a Redmond, Washington-based maker of orthopedic positioning products, sterile positioning kits and suture retrievers. The add-on expands Aspen's orthopedic disposables portfolio and increases its reach into hospitals and ambulatory surgery centers across North America.

ARCHIMED, a European healthcare-focused private equity firm, has acquired Direct Healthcare Group (DHG) from NorthEdge Capital. ARCHIMED plans to support DHG's international expansion and continued buy-and-build strategy across Europe, providing significant committed capital for future acquisitions.

Clinical Innovations, a Salt Lake City-based neonatal and labor & delivery medical device company owned by EQT, has acquired the SweetUms sucrose solution and BoogieBaby single‑use suction product lines from Sandbox Medical, LLC. The acquisition expands Clinical Innovations' NICU product portfolio and leverages its direct sales channels to increase market penetration of the products in the U.S. and globally.

IK Investment Partners' IK VIII Fund has agreed to acquire Ondal Holding GmbH, a global leader in medical pendant systems, from funds advised by Capvis. Ondal, headquartered in Hünfeld, Germany, operates manufacturing sites in Germany, the US and China and employs over 500 people; IK will partner with management to further grow the company's market position and technology leadership in medical pendants.

Condor Technologies NV and Financière Wow SAS agreed the settlement of the purchase price related to Financière Wow’s November 28, 2019 acquisition of 70% of Scan4All SAS. Because the original payment mechanism (transfer of Condor Technologies shares) proved impractical, the parties agreed a cash settlement and assignments to certain creditors, valuing the assigned portion of the receivable at EUR 3,978,276.92 (684,400 CT shares); Condor retains a receivable for the balance of 42,533 CT shares.

HealthpointCapital’s Fund IV portfolio company, CrossRoads Extremity Systems, completed an add-on acquisition of multiple FDA-cleared implant and soft-tissue repair technology assets from Surgical Frontiers LLC, including the KATOR, OsteoPrecise, SpeedButton and Metrics product families. The purchase, which includes issued and pending U.S. patents, strengthens CrossRoads’ extremities product portfolio and supports cross-selling and capability expansion as part of HealthpointCapital’s strategy to build a market-leading orthopedic extremities platform.

Clayton, Dubilier & Rice (CD&R) has agreed to acquire Cynosure, LLC, a leading developer and manufacturer of medical aesthetic treatment systems, from Hologic, Inc. The transaction is a divestiture of Hologic’s aesthetic devices business and will enable CD&R to invest behind Cynosure’s product portfolio, expand sales and marketing, and pursue tuck-in acquisitions to accelerate growth.

Gemini Bioproducts, a portfolio company of BelHealth Investment Partners, has acquired ORFLO Technologies, a developer of flow cytometers and cell counters. The deal expands Gemini's cell culture solutions by adding ORFLO's Moxi Go and Moxi Z instrumentation and consumables, strengthening its offering for cell and gene therapy customers.

ICU Medical, Inc. agreed to acquire Pursuit Vascular, Inc. for $75 million plus a potential earnout, bringing the ClearGuard HD antimicrobial catheter cap into ICU Medical’s consumables portfolio. The acquisition expands ICU Medical’s infection-prevention product offerings and distribution channels (domestic and international); Pursuit Vascular’s 2019 revenue was an estimated $10–12 million.

An affiliate of H.I.G. Capital has signed definitive agreements to acquire Meyra Group S.A. and Alu Rehab A/S and combine them into a single European mobility equipment manufacturer. The combined group will integrate complementary product lines (active/e-powered wheelchairs and comfort seating systems), retain current management teams, and pursue geographic expansion and further acquisitions to grow market share.

Capital Partners (through Capital Partners Private Equity Income Fund III, LP) completed a growth investment in Allentown, Inc. on October 22, 2019. John Coiro will remain CEO and Chairman as the investment is intended to support Allentown’s continued organic growth and acquisition-driven expansion of its lab animal housing and life‑science product offerings.

Avidity Science, a ShoreView portfolio company, has acquired Edstrom Japan Ltd., a Tokyo-based supplier of laboratory equipment, consumables, and services to the Japanese life sciences research market. The acquisition expands Avidity's presence and customer relationships in Japan and is an add-on to the company’s existing platform under ShoreView Industries.

Guardian Capital Partners’ portfolio company Tactical Medical Solutions (TacMed) completed an add-on acquisition of TraumaFX Solutions, a developer and manufacturer of high-fidelity human and K-9 medical simulators, on June 7, 2019. The acquisition expands TacMed’s training and simulation capabilities for first responders, emergency medical professionals, and military customers worldwide.

3M has completed the acquisition of Acelity and its KCI subsidiaries from funds advised by Apax Partners and consortium partners Canada Pension Plan Investment Board and the Public Sector Pension Investment Board for $6.725 billion. The transaction transfers Acelity — a global leader in advanced wound care and negative pressure wound therapy headquartered in San Antonio — to 3M, expanding 3M’s medical products capabilities.

ARCHIMED portfolio company Micromed has acquired Belgium-based EEG and PSG software specialist OSG BVBA. The deal gives Micromed direct access to the Benelux market (OSG has ~230 clients and ~50% penetration in the Netherlands) and adds software and AI sleep-scoring capabilities to accelerate product development and global distribution.

Chicago-based Beecken Petty O'Keefe & Company (BPOC) acquired a majority equity stake in Midwest Products & Engineering (MPE), a Milwaukee-based designer and manufacturer of mobile and stationary healthcare products. The transaction closed September 24, 2019, as Pfingsten sold MPE to BPOC; financial terms were not disclosed and MPE's CEO Hank Kohl will remain in place to continue growth initiatives under BPOC's healthcare-focused platform.

The HydraFacial Company purchased the assets of UK distributor ConsultingRoom to create HydraFacial UK and establish a direct presence in the United Kingdom and northern Europe. The deal brings ConsultingRoom’s founders and relationships into HydraFacial’s direct distribution network to support customers and consumers in one of the company’s largest markets outside North America.

GTCR has signed a definitive agreement to recapitalize Cole-Parmer Instrument Company, acquiring a majority stake while Golden Gate Capital and CEO Bernd Brust with the Cole-Parmer management team retain significant minority ownership. The recapitalization will support Cole-Parmer's continued organic growth and strategic M&A in the life sciences, healthcare and environmental laboratory products markets; the company will remain headquartered in Vernon Hills, Illinois.

Viant, a global medical device design and manufacturing services provider, has acquired Meraqi Medical, a Silicon Valley-based design, development and manufacturing firm focused on bioelectronics and minimally invasive surgical devices. The deal expands Viant's front-end design and development capabilities, adds a West Coast D&D hub, and deepens its portfolio of medtech solutions as an add-on to its PE-backed platform.

Advantage Medical Cables (rebranded as LifeSync) has acquired American Biosurgical Inc. (Norcross, GA) and Vital Connections, Inc. (Ohio) to expand its product portfolio and manufacturing footprint. The transactions, supported by lead investor HealthEdge Investment Partners, broaden LifeSync's capabilities in patient monitoring cables, radiolucent lead wires and contract manufacturing for hospitals and medical device OEMs.

Branford Castle Partners, a New York‑based private equity firm, has acquired Pulse Veterinary Technologies, LLC, a leading maker of shock wave therapy devices for equine and small‑animal veterinary markets, from Thompson Street Capital Partners. Siguler Guff provided debt financing and made an equity co‑investment; Branford plans to use the platform to accelerate geographic and customer expansion and pursue potential add‑ons.

Groupe Acrotec (Acrotec SA), a Swiss precision-manufacturing group, has agreed to acquire privately-held Diener Ltd. (including Diener Precision Pumps / Diener AG) and Tectri SA. The transactions, expected to close in Q4 2019, expand Acrotec’s Medtech capabilities and are expected to add roughly CHF 60 million of sales to the group.

Advancing Eyecare, a PE-backed ophthalmic instrumentation platform, has acquired Ophthalmic Instruments, Inc. (OII), a family-owned distributor of ophthalmic instruments serving the U.S. West Coast. The deal expands Advancing Eyecare's national footprint and strengthens its West Coast distribution and service capabilities.

Avista Capital Partners has acquired GCM Holding Corporation, an outsourced manufacturer of high-precision components and assemblies serving the MedTech, aerospace and diversified industrial markets, from May River Capital. The purchase gives Avista control of GCM’s three manufacturing facilities (including its Union City, California headquarters) as it seeks to invest in operational capacity and drive growth in medical device manufacturing.

Boston Scientific Corporation completed its acquisition of BTG plc by scheme of arrangement, with BTG shareholders receiving 840 pence in cash per share. The purchase brings BTG’s interventional medicine portfolio, specialty pharmaceuticals and licensing business into Boston Scientific, strengthening its capabilities in interventional oncology and vascular therapies.

DW Healthcare Partners (DWHP) announced a majority investment in CEFALY Technology SPRL, a Liège, Belgium–based manufacturer of neuro‑modulating medical devices for prevention and treatment of migraines. The investment—DWHP’s first from its fifth fund—will support CEFALY’s next stage of global growth and coincides with the appointment of Jen Trainor as CEO to scale marketing, sales and distribution.

Nemera has acquired Insight Product Development, a Chicago-based healthcare-focused design and innovation consulting firm, and integrated it into Nemera’s newly branded Insight Innovation Center. The acquisition strengthens Nemera’s front-end innovation, human factors and design engineering capabilities and expands its North American development footprint to better serve drug delivery and medical device customers.

EQT Mid Market Europe has agreed to acquire a majority interest in Ellab A/S from the IK VIII Fund (advised by IK Investment Partners). EQT will partner with Ellab's management, which will retain a minority stake, to accelerate global growth by expanding R&D, enhancing the go-to-market model in the US and Europe, and growing the company's as-a-service offerings.

Advancing Eyecare, a PE‑backed ophthalmic instrument platform formed by Atlantic Street Capital with industry partners, has acquired Ophthalmic Instruments & Consulting Company (OIC), a Pacific Northwest supplier of classical and diagnostic ophthalmic equipment. The add‑on expands Advancing Eyecare’s regional coverage and service capabilities to better serve ophthalmologists and optometrists.

Linden Capital Partners, a Chicago-based healthcare private equity firm, has acquired Collagen Matrix, Inc., a New Jersey-based developer and manufacturer of collagen-based medical products used in tissue and bone repair across orthopedic, sports medicine, dental, and neurosurgery markets. The transaction (financing provided by Golub Capital and Northwestern Mutual) supports Linden's focus on medical products, contract/private-label manufacturing and expansion in dental and orthopedic end markets; Metalmark Capital was the prior owner.

Carolina Precision Technologies (a portfolio company of Linx Partners) has acquired Renchel Tool Inc., a Putnam, Connecticut-based precision contract manufacturer specializing in complex orthopedic instruments and implants as well as aerospace and petrochemical components. The deal, supported by senior financing from Fifth Third Bank, is an add-on to expand CPT’s manufacturing capabilities, capacity, and customer base.

Foresight Group provided an additional £4.0 million growth capital investment into portfolio company ONFAB to fund ONFAB's acquisition of Lancashire-based Envair Holdings Limited. The combined business will provide both flexible and rigid clean-air containment products and services, strengthening the platform's offering into healthcare, pharmaceutical and manufacturing end markets.

Key Surgical LLC, a portfolio company of Water Street Healthcare Partners, has signed an agreement to acquire Insitumed GmbH, a Hamburg-based endoscopy product company. The deal expands Key Surgical's endoscopy product portfolio and extends its global footprint; financial terms were not disclosed.

Audax Private Equity has entered into a definitive agreement to acquire Aspen Surgical, a Hillrom business unit that manufactures branded and private-label single-use surgical consumables. Aspen Surgical is headquartered in Caledonia, Michigan with operations in Caledonia and Las Piedras, Puerto Rico, and employs approximately 500 people; the transaction is a divestiture of the surgical consumables business from Hillrom to Audax.

Etac, a wholly-owned subsidiary of Swedish investor Nordstjernan, has acquired 70% of HoverTech International, a US leader in air-assisted patient handling systems based in Allentown, Pennsylvania. The majority investment strengthens Etac's position in patient handling/medtech, creates a platform for accelerated growth and cross‑selling in the US and other export markets, and brings HoverTech access to Etac's global sales and R&D resources.

Arlington Capital Partners completed a majority growth investment in Riverpoint Medical, a Portland-based developer and manufacturer of advanced biomedical textile medical devices. The investment will support Riverpoint's plans to expand manufacturing capacity, accelerate product development across wound closure, sports medicine and animal health markets, and scale the business with existing management retaining material ownership.

Boston Scientific acquired Vertiflex, Inc., a Carlsbad-based developer of the Superion interspinous spacer for lumbar spinal stenosis, for approximately $465 million in cash plus contingent payments. The transaction was announced in May 2019 and completed in June 2019; Vertiflex had been backed by H.I.G. BioHealth Partners.

Ampersand Capital Partners completed a majority recapitalization of N2 Biomedical, a Bedford, Massachusetts-based provider of coating and surface treatment solutions for the medical device industry. The transaction positions N2 to accelerate growth and broaden its service offering; Ampersand also supported the appointment of Randall Sword as President and CEO while co-founders remain shareholders.

IK Investment Partners’ IK VIII Fund has agreed to acquire LAP GmbH Laser Applikationen (LAP), a German manufacturer of laser positioning systems and radiotherapy QA software, from capiton. LAP is headquartered in Lüneburg, Germany, employs about 350 people across three manufacturing sites, and the deal is intended to support LAP’s growth, expand its QA software offering and enter new application areas in radiotherapy and industrial markets.

Great Point Partners completed a growth recapitalization of SteriPack to support the contract manufacturer's next phase of expansion and an aggressive add-on acquisition strategy. SteriPack, headquartered in Mullingar, Ireland, is a contract manufacturer and value‑added services provider to medical device and pharmaceutical customers with ~650 employees and facilities in Poland, Malaysia and the United States.

New York-based private equity firm Cortec Group, via its affiliate Cortec Fund VI, recapitalized Irvine-headquartered Aspen Medical Products on June 10, 2019. The transaction provides Aspen with capital and financing to support product expansion, international growth, infrastructure development and potential acquisitions; terms were not disclosed.

EPTAM Precision Solutions, a portfolio company of New Heritage Capital, has acquired Micro Molding Inc. and MedConnection LLC, a Phillipsburg, New Jersey-based provider of precision plastic injection molding and catheter tipping solutions. The add-on broadens EPTAM's plastic injection molding capabilities to create a one-stop-shop for precision plastic and metal components serving medical device, aerospace & defense, and semiconductor customers.

Avalign Technologies, a Bannockburn, Illinois-based precision medical device manufacturer, has acquired Integrated Medical Solutions (IMS), a contract manufacturer of machined metal implants based in Mentor, Ohio. The acquisition expands Avalign's manufacturing capabilities and product offerings in spine, sports medicine, trauma, and extremities implants as an add-on to its platform (PE-backed by Linden Capital Partners).

HealthpointCapital has acquired a controlling (majority) stake in CrossRoads Extremity Systems, a Memphis-based developer and manufacturer of foot & ankle implants, procedure-specific sterile-packed instrumentation, and the EcoSMART instrument recovery service. HealthpointCapital will partner with CrossRoads' co-founders and management, providing additional equity to fund organic growth, expand the company's portfolio and market presence, and pursue bolt-on acquisitions.

ARCHIMED, through its MED II-backed holding company Duomodiag Sarl, acquired Italian in vitro diagnostics specialist DIESSE Diagnostica Senese SpA in a cross-border carve-out completed on May 13, 2019. The deal — financed by MPS Capital Services and BPER — purchased DIESSE from its founders and Orphée SA (the Swiss subsidiary of the PZ Cormay group) to accelerate product innovation and expand market penetration internationally.

Noritsu America Corporation has acquired R & F Imaging Inc., a regional medical imaging device sales and service company based in Atlanta, Georgia. Noritsu plans to expand the operation nationwide and retain R & F's owner Rex Fortenberry to support the combined business, leveraging Noritsu's national service footprint and R & F's device expertise.

TE Connectivity acquired Alpha Technics, Inc., a designer and manufacturer of precision temperature measurement sensors and assemblies for medical and industrial customers, from Gen Cap America. Terms were not disclosed; the deal adds medical temperature-sensing and calibration capabilities to TE's sensor and connectivity portfolio.

Inverness Graham Investments’ dental products platform, Vista Dental, has acquired Apex Dental Materials, a Lake Zurich, Illinois-based manufacturer of restorative dental materials. The add-on expands Vista’s restorative and endodontic product portfolio and aims to leverage Vista’s distribution, sales and marketing channels and KOL program to accelerate product commercialization.