Conmed to acquire SurgiQuest for $265m

16 November 2015 (Last Updated November 16th, 2015 18:30)

Conmed has agreed to acquire the US-based medical device company SurgiQuest for $265m.

Conmed has agreed to acquire the US-based medical device company SurgiQuest for $265m.

SurgiQuest is a privately-held venture-backed firm, which develops, manufactures and markets access technologies for minimally invasive surgery.

The company's AirSeal system access management technology is used in laparoscopic and robotic procedures.

"Revitalising the Advanced Surgical business is a key element of our general surgery strategy, and this transformative acquisition uniquely bolsters the progress we have made."

AirSeal, which has been used in over 250,000 procedures globally, features a valve-free trocar with continuous pressure sensing and an insufflator and smoke evacuator.

Conmed expects the acquisition to add $55m to $60m to its revenue in fiscal year 2016. Net cost savings will approximate $15m a year.

The transaction, which is subject to US regulatory approval, is expected to complete in the first quarter of 2016.

As part of the acquisition, SurgiQuest founder and CEO Kurt Azarbarzin will join Conmed as chief technology officer of the advanced surgical business.

Conmed president and CEO Curt Hart said: "Revitalising the Advanced Surgical business is a key element of our general surgery strategy, and this transformative acquisition uniquely bolsters the progress we have made.

"The AirSeal system is a highly differentiated technology which is fast becoming the standard of care in laparoscopic and robotic surgery where it delivers benefits for the patient, the surgeon, and the hospital."

Conmed provides surgical devices and equipment for minimally invasive procedures. The company's products are used in various specialities, including orthopedics, general surgery, gynecology, neurosurgery and gastroenterology.