OrthoPediatrics to acquire Canadian firm
Warsaw-based OrthoPediatrics Corp. (Nasdaq: KIDS) says it has entered an agreement to acquire Pega Medical, a Canadian orthopedics device manufacturer, in a mostly-cash deal valued at $33 million. Under the terms of the deal, the Kosciusko County company says it will pay an upfront cash payment of $31 million and $2 million in stock.
OrthoPediatrics says Pega focuses primarily on skeletal deformities found in pediatric populations.
“Similar to OrthoPediatrics, the Pega organization has been focused exclusively on addressing unmet needs for children whose lives have been impacted by musculoskeletal disorders and diseases,” said OrthoPediatrics Chief Executive Officer David Bailey.
As part of the deal, OrthoPediatrics is acquiring Pega’s Fassier-Duval Telescopic Intramedullary System, an implant designed to treat bony deformities in children with osteogenesis imperfecta.
“Their product offerings include novel technologies to treat some of the most unique conditions in pediatric orthopedics,” said Bailey.
OrthoPediatrics also reports it is increasing its full year 2022 revenue guidance range to $125 million to $128 million, representing growth of 27% to 31%.