K2M Group announces definitive merger agreement with Stryker

K2M Group Holdings Inc. announced a definitive merger agreement with Stryker Corporation in which Stryker has agreed to acquire all issued and outstanding shares of common stock of K2M in an all cash transaction for $27.50 per share, or a total equity value of approximately $1.4 billion. This purchase price represents a 27% premium over K2M’s average closing price during the 90 trading days ended Aug. 29, 2018, according to a company press release.

“Joining Stryker will be a very exciting next chapter for our global team and surgeon customers around the world,” Eric D. Major, chairman, CEO and president of K2M, said in the release. “Stryker’s established leadership in the orthopedic and neurosurgical market, combined with K2M’s culture of innovation and leadership in complex spine and minimally invasive solutions, represent a powerful opportunity for Stryker to strengthen its leadership in the $10 billion global spine market.”

Expected to close late in the fourth quarter of this year, the acquisition is expected to have an immaterial dilutive impact to Stryker’s net earnings per diluted share and adjusted net earnings per diluted share in 2018. The release noted K2M will become a wholly owned subsidiary of Stryker Corporation upon completion of the proposed transaction.

“This acquisition underscores our commitment to the spinal market, which is the largest segment of orthopedics with significant unmet needs,” Kevin A. Lobo, chairman and CEO of Stryker, said in the release. “We believe K2M will significantly enhance our presence with surgeons, patients and employees in both the spine and related neurotechnology markets.”

Reference s :

investors.k2m.com/news-releases/news-release-details/k2m-group-holdings-inc-announces-definitive-agreement-be

stryker.gcs-web.com/news-releases/news-release-details/stryker-announces-definitive-agreement-acquire-k2m

K2M Group Holdings Inc. announced a definitive merger agreement with Stryker Corporation in which Stryker has agreed to acquire all issued and outstanding shares of common stock of K2M in an all cash transaction for $27.50 per share, or a total equity value of approximately $1.4 billion. This purchase price represents a 27% premium over K2M’s average closing price during the 90 trading days ended Aug. 29, 2018, according to a company press release.

“Joining Stryker will be a very exciting next chapter for our global team and surgeon customers around the world,” Eric D. Major, chairman, CEO and president of K2M, said in the release. “Stryker’s established leadership in the orthopedic and neurosurgical market, combined with K2M’s culture of innovation and leadership in complex spine and minimally invasive solutions, represent a powerful opportunity for Stryker to strengthen its leadership in the $10 billion global spine market.”

Expected to close late in the fourth quarter of this year, the acquisition is expected to have an immaterial dilutive impact to Stryker’s net earnings per diluted share and adjusted net earnings per diluted share in 2018. The release noted K2M will become a wholly owned subsidiary of Stryker Corporation upon completion of the proposed transaction.

“This acquisition underscores our commitment to the spinal market, which is the largest segment of orthopedics with significant unmet needs,” Kevin A. Lobo, chairman and CEO of Stryker, said in the release. “We believe K2M will significantly enhance our presence with surgeons, patients and employees in both the spine and related neurotechnology markets.”

Reference s :

investors.k2m.com/news-releases/news-release-details/k2m-group-holdings-inc-announces-definitive-agreement-be

stryker.gcs-web.com/news-releases/news-release-details/stryker-announces-definitive-agreement-acquire-k2m