Dublin-headquartered medical technology firm Medtronic has completed the acquisition this week of Israeli medical device company Mazor Robotics, for an overall transaction value estimated at $1.7 billion, or $1.3 billion net of Medtronic’s existing stake in Mazor and cash acquired. Mazor shareholders will receive $58.50 per American Depository Share, or $29.25 per ordinary share, in cash.
The deal is reportedly the largest amount ever paid for an Israeli company in the medical sector and ranks among the largest deals completed in 2018. With this agreement, Medtronic aims to become a leader in spinal surgery using guided robotics and combine its spine implants, navigation, and 3D imaging technology with Mazor’s robotic-assisted surgery systems.
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Geoff Martha, executive vice president and president of the Restorative Therapies Group at Medtronic, said in a statement: “With today’s announcement, in bringing the two companies together Medtronic aims to accelerate the advancement and adoption of robotic-assisted surgery in spine for the benefit of patients, providers, and the healthcare system more broadly.”
“This is the latest example of our Surgical Synergy strategy, which we believe will transform spine care through procedural solutions that integrate implants, biologics and enabling technologies like navigation, 3D imaging, robotics and powered surgical tools,” she added.
Mazor Robotics CEO Ori Hadomi said in September earlier this year, when the acquisition was first announced, that the deal was part of a “historic day for spine surgery and a defining event in the market’s evolution,” adding that the company’s “full integration into Medtronic will maximize our impact globally through Medtronic’s channels, advance our systems’ leadership position in the marketplace, and drive the realization of our vision to heal through innovation.”
Medtronic became the exclusive global distributor of the Mazor X spine surgery assurance system. Their co-developed Mazor X(TM) Stealth Edition was recently cleared by the FDA.