Stryker to pony up $700M for imaging player Novadaq

Money
In its acquisition of Novadaq, Stryker will pick up fluorescence imaging systems, including a hand-held version and an endoscopic version.

Stryker has agreed to acquire 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.

The Mississauga, Canada-based company also markets a hand-held version of the Spy system, as well as an endoscopic version for minimally invasive procedures.

FREE DAILY NEWSLETTER

Like this story? Subscribe to FierceBiotech!

Biopharma is a fast-growing world where big ideas come along every day. Our subscribers rely on FierceBiotech as their must-read source for the latest news, analysis and data in the world of biotech and pharma R&D. Sign up today to get biotech news and updates delivered to your inbox and read on the go.

"This acquisition aligns with Stryker's focus on enabling our customers to see and do more by enhancing cross-specialty surgical visualization," said Timothy Scannell, president of the MedSurg and NeuroTechnology group at Stryker, in a statement. "Novadaq's unique innovative technology complements Stryker's advanced imaging portfolio and expands our product offerings into open and plastic reconstructive surgery.”

Novadaq is Stryker’s first acquisition in 2017, following a strong 2016. Last year, the company acquired U.K.-based Stanmore Implants for £35.6 million ($45.5 million), disposable device maker Sage Products for $2.8 billion and Physio Control, which makes defibrillators and CPR-assist devices, for $1.3 billion.

Also in 2016, the devicemaker bolstered its neurology and spine units with a pair of tuck-in deals. It acquired Synergetics’ neuro portfolio and Becton Dickinson’s vertebral compression fracture products at a time where its neurotechnology group was faring well and its spine unit was struggling. While Stryker’s spine business still showed “softness” in Q1 2017, CEO Kevin Lobo said on an earnings call that he expects it to “improve over the course of the year.”

Suggested Articles

Janssen is planning its first completely virtual clinical trial, using personal smartphones and wearable devices with no in-person site visits.

Sensyne Health aims to bring its AI tools to America, and it’s enlisting IT giant Cognizant and data infrastructure specialist Agorai to help.

Californian RNA biotech Arrowhead will lose its COO and R&D head from next year but is hiring a new CMO and CSO to help steady its research exec team.