Stryker has acquired Israeli OrthoSpace for a total cash consideration of $220m.
The deal involves an upfront payment of $110m, followed by an additional payment of up to $110m for future milestones.
OrthoSpace is engaged in the development and commercialisation of biodegradable balloon systems for the orthopaedic market. Its portfolio includes a technology to treat massive irreparable rotator cuff tears.
OrthoSpace’s InSpace is a biodegradable sub-acromial spacer designed to realign the natural biomechanics of the shoulder. Placement of the spacer eliminates friction between two bones and reduces pain. It has received the European CE-Mark but is yet to be approved by the US Food and Drug Administration (FDA).
Stryker MedSurg group president Andy Pierce said: “The acquisition of OrthoSpace is highly complementary to our existing portfolio and aligns with Stryker’s focus on investing in sports medicine.
“We are excited about the momentum OrthoSpace has in key global markets and the additional surgical option this technology provides our customers to address a complex pathology.”
Last month, the company acquired a US-based medical device company called Arrinex.
Founded in 2013, Arrinex’s portfolio consists of a new cryoablation technology ClariFix, which is indicated for treating chronic rhinitis that is known to impact more than 24 million people in the US each year.
The company started commercialising ClariFix in the US in 2017. The device extends Stryker’s Ear, Nose and Throat (ENT) portfolio.