New York-based medical device manufacturer Misonix agreed to acquire privately held wound-healing company Solys Medical of Newport News, Va., in an all-stock transaction valued at $97 million.
Here are five takeaways from the agreed acquisition:
1. Misonix said it will issue around 5.7 million new shares to Solys unitholders and will assume the company's outstanding secured debt of approximately $20 million.
2. The boards of both companies have approved the deal, which is slated for completion in the third quarter of 2019.
3. When the deal closes, Misonix shareholders will own 64 percent of the combined entity and Solys unitholders will own 36 percent.
4. Solys' advanced wound care product, TheraSkin — a cellular- and tissue-based product for regenerative wound healing — is designed to treat chronic wounds which are difficult to heal.
5. Solys is expected to reach sales of roughly $32 million for 2019 with the pro forma firm is expected to generate over $80 million in sales. The combined company expects revenue growth of over 20 percent over the next couple of years.