Michigan-based device giant Stryker acquired Entellus Medical, the maker of minimally invasive devices for the treatment of airway obstructions, in a deal worth about $662 million. The deal is pending Entellus shareholder and regulatory approval.
Stryker offered Entellus $24 a share, which equates to about a 50% premium over the closing price of its stock Wednesday. It said the deal for Entellus would likely be dilutive to its 2018 adjusted net earnings per diluted share by 4 cents, and then accretive thereafter.
Entellus offers the Latera absorbable nasal implant device that rests along the nasal wall to support the upper and lower cartilage in the nose. The Latera device moved to Entellus in July when the company shelled out $81 million to acquire Spirox. It was the biggest deal for Entellus in its 11-year history.
“Entellus is a leader in the ENT segment and offers a comprehensive portfolio of products that enable physicians to conveniently and comfortably perform a broad range of ENT procedures,” Timothy J. Scannell, a Stryker group president, said in a statement.
In June, Stryker acquired Novadaq, which specializes in fluorescence imaging systems with the goal of improving quality of care and reducing healthcare costs, for $701 million. Novadaq’s Spy Imaging Systems are CE-marked and cleared in the U.S. and Canada. The Spy Elite device allows surgeons conducting open procedures, such as cardiothoracic surgery and gastrointestinal surgery, to visualize blood flow and tissue perfusion in real time.