US-based medical devices manufacturer Integra LifeSciences has signed a definitive agreement to acquire all outstanding shares of TEI Biosciences and TEI Medical for a cash consideration of $312m.
The acquisition, which is likely to offer high capital returns, is expected to expand the company's reconstructive surgery and regenerative wound care product offerings with the addition of the complementary technology, PriMatrix Dermal Repair Scaffold.
The transaction will push market demands for Integra products and drive the firm's growth especially in operating rooms (ORs), burn centres and wound care clinics.
Integra president Peter Arduini said: "This acquisition broadens our presence in regenerative wound care and tissue repair and represents a significant push forward toward our growth objectives for 2015 and beyond.
"We are enthusiastic about both TEI's product development and commercial expertise, which accelerates our ability to establish an immediate presence in the diabetic foot ulcer space."
TEI chairman Dr Yiannis Monovoukas said: "It is an exciting time for TEI, and I am confident in Integra's ability to grow our leading platform technology to drive broader expansion into regenerative medicine, including wound care, plastic and reconstructive surgery and other soft tissue repair and reconstruction applications."
The company expects the acquisition to offer regenerative technology based products and new base of sales in attractive adjacent markets, specifically abdominal wall repair and plastic and reconstructive surgery.
Subject to customary closing conditions, the transaction is expected to be completed during the third quarter of 2015.