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Smith and Nephew Acquires Brainlab Orthopaedic Joint Reconstruction Business
Friday 15 March 2019

15 March 2019 - UK-based medical technology business Smith and Nephew plc (LSE: SN) (NYSE: SNN) has agreed to acquire software-driven medical technology specialist Brainlab's orthopaedic joint reconstruction business, the companies said.

The acquisition supports Smith and Nephew's strategy to invest in best in class technologies that further its multi-asset digital surgery and robotic ecosystem.

This acquisition and strategic collaboration allow both companies to accelerate research and development in the areas of digital surgery and augmented reality.

The Brainlab orthopaedic joint reconstruction business provides surgeons with digital workflow tools, from pre-operative planning to intraoperative navigation to postoperative evaluation and sharing.

Used in over 40,000 orthopaedic cases1 each year at more than 500 accounts worldwide, the technology helps maximise precision and reproducibility and achieve desired outcomes for patients and surgeons.

The transaction also includes certain intangible assets as well as the orthopaedic Brainlab salesforce, which will be integrated into the Smith and Nephew robotics commercial organisation, supporting the acceleration of this business.

Smith and Nephew and Brainlab will collaborate in developing applications in orthopaedic reconstruction and sports medicine, with opportunities to expand into other surgical specialties thereafter.

The partnership offers Smith and Nephew access to a broad range of Brainlab technologies in cloud computing, tracking, augmented reality, robotics, AI, machine learning, image fusion, and anatomical segmentation.

The combined competencies will result in a powerful digital ecosystem from which ground-breaking clinical solutions can emerge, bolstering Smith and Nephew's technology base for robotics.

Brainlab will benefit from deploying its digital surgery products to the ambulatory surgery market through the broad Smith and Nephew distribution network. By working together, the companies will provide an exciting upgrade path with more capabilities for both Brainlab and Smith and Nephew customers.

Brainlab, headquartered in Munich, develops, manufactures and markets software-driven medical technology, enabling access to advanced, less invasive patient treatments.

Core products center on information-guided surgery, radiosurgery, precision radiation therapy, digital operating room integration, and information and knowledge exchange.

Brainlab technology powers treatments in radiosurgery and radiotherapy as well as numerous surgical fields including neurosurgery, orthopaedic, ENT, CMF, spine and trauma.

Privately held since its formation in Munich, Germany in 1989, Brainlab has more than 12,850 systems installed in over 100 countries. Brainlab employs almost 1,400 people in 18 offices worldwide, including more than 420 Research and

Development engineers, who form a crucial part of the product development team.

Smith and Nephew is a portfolio medical technology business with leadership positions in Orthopaedics, Advanced Wound Management and Sports Medicine. Smith and Nephew has more than 16,000 employees and a presence in more than 100 countries. Annual sales in 2018 were USD4.9 bn. Smith and Nephew is a member of the FTSE100 (LSE: SN) (NYSE: SNN).
Details
Date Published: 15/03/2019
Target: Brainlab/orthopaedic joint reconstruction business
Country: USA
Sector: Healthcare
Type: Corporate acquisition
Financing:
Status: Agreed
Vendor: Brainlab
Buyer: Smith and Nephew
Comment:
Terms of the deal were not disclosed

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