Biomet to Buy Colorado Spine Company, Announces Q1 Profits
July 28, 2016 at 4:25 p.m.
By Staff Report-
The pending acquisition would expand Biomet Spine’s technology portfolio through the addition of Lanx products including the Timberline® Lateral Approach Fusion System and the Aspen® Minimally Invasive Fusion System, according to the announcement. These products are complementary to Biomet Spine’s comprehensive offering of products, including the Lineum® OCT Spine System, MaxAn® Anterior Cervical Plate System, Cellentra™ VCBM and the Polaris™ Translation™ Screw System.
The closing is subject to clearance under the Hart-Scott-Rodino Antitrust Improvements Act and other customary closing conditions. The boards of directors of both Biomet and Lanx have approved the transaction. The acquisition is expected to close by Nov. 29.
Jeff Binder, Biomet president and CEO, said in the release, “This is an exciting opportunity for Biomet to improve its competitiveness in the spine market by leveraging the best aspects of each company and adding strategically important technologies to our product portfolio. We look forward to welcoming the talented Lanx team members and distributors to Biomet and working together to build our spine business.”
Dan Gladney, CEO of Lanx Inc., stated, “Biomet Spine is the ideal home for the talent and technologies that Lanx has worked so hard to develop. The combination of these companies and their products will be a powerful force in the spine market of the future.”
Adam Johnson, president of Biomet Spine, Bone Healing and Microfixation, commented, “The agreement to acquire Lanx is a key step in the fulfillment of our strategic plan. The resulting increase in scale, expansion of our product portfolio and infusion of talent will accelerate our efforts to be the partner of choice in spine for distributor partners, hospitals and the spine surgeons we serve.”
Lanx was founded in 2003 and bills itself as an emerging leader in spinal surgery solutions. It expanded in January 2012 with added facility space and executive team hires.
Warsaw-based Biomet recently reported a first-quarter profit of $31.1 million for the period ending Aug. 31, compared to a loss of $31.5 million in the prior year period. The company reported that knee sales rose 3.5 percent and hip sales 1.9 percent, while sales for sports medicine, extremities and trauma increased 17 percent and the spine and bone healing segment sales fell 6.6 percent.
The year-earlier period included a loss on extinguishment of debt of $42.4 million. Excluding that and other items, adjusted earnings rose to $80.8 million from $60.4 million.
Net sales grew 3.3 percent to $730.7 million and were up 4.3 percent excluding currency fluctuations. The company’s gross margin narrowed from 67.8 percent to 67.5 percent.[[In-content Ad]]
The pending acquisition would expand Biomet Spine’s technology portfolio through the addition of Lanx products including the Timberline® Lateral Approach Fusion System and the Aspen® Minimally Invasive Fusion System, according to the announcement. These products are complementary to Biomet Spine’s comprehensive offering of products, including the Lineum® OCT Spine System, MaxAn® Anterior Cervical Plate System, Cellentra™ VCBM and the Polaris™ Translation™ Screw System.
The closing is subject to clearance under the Hart-Scott-Rodino Antitrust Improvements Act and other customary closing conditions. The boards of directors of both Biomet and Lanx have approved the transaction. The acquisition is expected to close by Nov. 29.
Jeff Binder, Biomet president and CEO, said in the release, “This is an exciting opportunity for Biomet to improve its competitiveness in the spine market by leveraging the best aspects of each company and adding strategically important technologies to our product portfolio. We look forward to welcoming the talented Lanx team members and distributors to Biomet and working together to build our spine business.”
Dan Gladney, CEO of Lanx Inc., stated, “Biomet Spine is the ideal home for the talent and technologies that Lanx has worked so hard to develop. The combination of these companies and their products will be a powerful force in the spine market of the future.”
Adam Johnson, president of Biomet Spine, Bone Healing and Microfixation, commented, “The agreement to acquire Lanx is a key step in the fulfillment of our strategic plan. The resulting increase in scale, expansion of our product portfolio and infusion of talent will accelerate our efforts to be the partner of choice in spine for distributor partners, hospitals and the spine surgeons we serve.”
Lanx was founded in 2003 and bills itself as an emerging leader in spinal surgery solutions. It expanded in January 2012 with added facility space and executive team hires.
Warsaw-based Biomet recently reported a first-quarter profit of $31.1 million for the period ending Aug. 31, compared to a loss of $31.5 million in the prior year period. The company reported that knee sales rose 3.5 percent and hip sales 1.9 percent, while sales for sports medicine, extremities and trauma increased 17 percent and the spine and bone healing segment sales fell 6.6 percent.
The year-earlier period included a loss on extinguishment of debt of $42.4 million. Excluding that and other items, adjusted earnings rose to $80.8 million from $60.4 million.
Net sales grew 3.3 percent to $730.7 million and were up 4.3 percent excluding currency fluctuations. The company’s gross margin narrowed from 67.8 percent to 67.5 percent.[[In-content Ad]]
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