Zimmer Biomet has entered into a definitive agreement to purchase Paragon 28, a medical device company focused exclusively on foot-and-ankle orthopedics.
Zimmer will acquire all outstanding shares of Paragon stock for an upfront payment of $13 per share, corresponding to an equity value of approximately $1.1 billion and an enterprise value of approximately $1.2 billion, according to a Jan. 28 news release.
Paragon was founded in 2010 and offers surgical equipment and product systems spanning all major foot-and-ankle segments, including fracture and trauma, deformity correction and joint replacement.
The acquisition will expand Zimmer Biomet's foot-and-ankle offerings and bolster its fracture and trauma, and joint-replacement portfolios.
Paragon estimated its net revenue for fiscal 2024 at about $255.9 million to $256.2 million, representing 18.2% to 18.4% reported growth over fiscal 2023, according to the release.