Wright Medical Completes Second Extremities Acquisition in a Month

Wright Medical Group Inc. has completed the previously announced acquisition of OrthoPro LLC., , adding it to the bank along with Solana Surgical LLC , both of which are high growth extremities companies.

Wright previously announced plans on January 30, 2014 to acquire OrthoPro for an upfront purchase price of $32.5 million paid in cash at closing, plus milestone payments of up to an additional $3.5 million in cash, contingent upon the achievement of certain revenue-based milestones.

Under the terms of the agreement with Solana, Wright acquired 100 percent of Solana’s outstanding equity on a fully diluted basis for total consideration, net of acquired cash, of $90 million, consisting of approximately $47.6 million in cash and approximately $42.4 million of Wright common stock.

“The acquisitions of Solana and OrthoPro are excellent fits for our extremities business, enabling us to add a base of fast-growing extremity revenue that we can effectively grow on a go-forward basis,” said Robert Palmisano, president and CEO of Wright. “Both of these transactions meet our criteria of being accretive to revenue growth and adjusted EBITDA. In addition, products from both companies will complement our existing foot and ankle portfolio and include several specialized products that expand our extremities product offering. Both companies have a reputation for leading innovation, and we anticipate that their products will help expand Wright’s position as the definitive technology leader in the foot and ankle market.”

“We are delighted to partner with a company that shares Solana’s commitment to building a high-growth extremities business,” said Alan Taylor, CEO of Solana. “We believe that Wright Medical, with its global leadership position in the foot and ankle market and expertise in medical education and product development, is the ideal partner to accelerate our growth and realize the full potential of Solana’s products around the world.”

For his part, OrthoPro’s CEO Dustin Leavitt said, “This combination will provide the opportunity for further expansion of OrthoPro’s innovative products to support market growth and procedure penetration worldwide. We look forward to advancing our foot and ankle business with the recognized leader in the foot and ankle market.”

Orthopedic device company Wright Medical is headquartered in Memphis, Tenn.