Dr. Peter F. Ullrich, Jr. Titan’s CEO and President, told OTW, “At first, Titan Spine sought to shift the paradigm that an interbody device was just a spacer to one that could be an active participant in the fusion process. Next, we did extensive research using various subtractive manufacturing techniques to create a surface that mimics what osteoclasts create for stem cells during natural bone production. By combining with Medtronic, we have exponentially increased the number of patients that will benefit from our nanoLOCK® surface technology. Spinal fusion patients are the beneficiaries of this transaction.”
Dr. Paul Slosar, Titan Spine’s chief medical officer, told OTW, “The acquisition of Titan by Medtronic is a great fit for both companies. Titan Spine has been the market leader in driving the science of surface technology to the forefront of spine. This paradigm shift in the interbody fusion market is now gaining strength and Medtronic is the company best capable of taking this to the next level. They created the bench-mark product (InFuse) which drove the explosion in the spinal biologics market. That experience and expertise will allow Medtronic to again lead the interbody fusion market focused on implants with active surface technology, which is the nanoLOCK surface technology acquired from Titan.”
Financial Details of Acquisition
The transaction is projected to close during Medtronic’s first fiscal quarter, which ends on July 26, 2019. The transaction remains subject to the satisfaction of customary closing conditions including the receipt of regulatory clearances. The terms of the deal were not disclosed. This acquisition is not expected to affect Medtronic’s fiscal adjusted earnings per share for 2020.
The companies have not released any details about what changes will or will not be made related to employees and locations at the time of Medtronic’s acquisition.
Transfeldt-Josse said, “We’re excited to welcome Titan Spine team members into Medtronic after close. At that point leadership from both organizations will work together to ensure Titan Spine’s nanoLOCK surface technology creates a greater impact on the spine market, particularly for the improvement of patient outcomes. As time goes on and after close, further details will be made available.”
