Princeton-based Integra LifeSciences Holding Corp. on Thursday said it entered into a definitive agreement to acquire Surgical Innovation Associates of Chicago, which develops, markets and sells DuraSorb, an absorbable monofilament mesh for plastic and reconstructive surgery.
Integra will purchase SIA for $50 million at closing, subject to customary purchase price adjustments, and pay up to an additional $90 million upon the achievement of certain revenue and regulatory milestones.
The transaction is expected to close by the end of the year, subject to the satisfaction of customary conditions.
This acquisition will facilitate the DuraSorb’s continued adoption in the U.S. and broaden its availability around the world. It will also advance Integra’s global strategy in breast reconstruction, expanding plans to access the U.S. market with devices specifically approved by the FDA for use in implant-based breast reconstruction procedures.
There are no surgical matrices approved by the FDA specifically for use in IBBR. With SurgiMend PRS, Integra is the first and, to date, the only manufacturer to submit a premarket approval application for a surgical matrix for use as soft tissue support in IBBR.
“The global breast reconstruction market represents an attractive growth opportunity for our surgical reconstruction business,” Robert Davis Jr., executive vice president and president, tissue technologies, Integra LifeSciences, said. “By offering two distinct product solutions, SurgiMend and DuraSorb, to plastic and reconstructive surgeons, we aim to address various clinical, contracting and economic needs across different sites of care. We look forward to welcoming the SIA leadership and colleagues who will continue to drive the team’s success.”
According to Breastcancer.org, 1 in 8 women will develop breast cancer in her lifetime. For women undergoing a mastectomy and opting for a breast reconstruction procedure today, surgical matrices are commonly used to provide support in a majority of IBBR procedures.
“We are excited to work with Integra and contribute our resorbable synthetic technology to its strong soft tissue reconstruction capabilities, with a view to providing surgeons with greater access to FDA-approved devices to support breast reconstruction,” Dr. Josh Vose, CEO, SIA, said. “Integra’s global reach and commercial strength will help enable us to achieve our joint mission to improve outcomes in women’s health.”
BofA Securities acted as exclusive financial adviser to SIA. Wyrick Robbins acted as legal adviser to Integra and Proskauer served as legal adviser to SIA.