M&A activity has picked up steam in the spine device industry after the market experienced a dip in 2020 because of the COVID-19 pandemic.
Arguably the most significant transaction in the spine industry this year was NuVasive's $150 million acquisition of Simplify Medical, which developed an artificial disc that is being evaluated for two-level indications.
Two more spine acquisitions expected to close in the second quarter:
1. SeaSpine entered into an agreement to acquire 7D Surgical in a $110 million deal. The companies partnered in February 2020 to distribute 7D's flagship technology, with 7D Surgical to distribute the Machine-Vision Image Guided Surgery system. Both companies' board of directors unanimously approved the deal.
2. Alphatec plans to acquire EOS imaging in a $116.9 million all-cash transaction. The company said it will integrate EOS technology into its Alpha Informatix platform, adding spinal imaging and anatomical modeling. After closing, Alphatec expects to see gradual increases in revenue, adjusted EBITDA and free cash flow in the first full year of operations.