Globus Medical to Acquire Nevro Corp. to Expand Treatment Options for Patients
Globus Medical (NYSE: GMED) has announced the acquisition of Nevro Corp. (NYSE: NVRO) in an all-cash transaction valued at approximately $250 million. Under the agreement, Globus Medical will acquire all Nevro shares for $5.85 per share, representing a 27% premium to the 90-day VWAP.
The transaction, expected to close in late Q2 2025, aims to expand Globus Medical's presence in neuromodulation and pain management technologies. The company anticipates 2025 net sales of $2.80-2.90 billion post-acquisition, with the deal expected to be earnings accretive in the second year of operation.
For 2024, Globus Medical reported preliminary net sales of $2.52 billion, a 60.6% increase year-over-year, while Nevro's preliminary worldwide revenue was $408-409 million. The acquisition has received unanimous approval from both companies' boards of directors and is subject to Nevro shareholder and regulatory approvals.
Globus Medical (NYSE: GMED) ha annunciato l'acquisizione di Nevro Corp. (NYSE: NVRO) in una transazione completamente in contante del valore di circa 250 milioni di dollari. Secondo l'accordo, Globus Medical acquisirà tutte le azioni Nevro a 5,85 dollari per azione, rappresentando un premio del 27% rispetto alla media ponderata per volume delle ultime 90 giorni.
La transazione, prevista per la conclusione entro la fine del secondo trimestre 2025, mira a espandere la presenza di Globus Medical nelle tecnologie di neuromodulazione e gestione del dolore. L'azienda prevede vendite nette per il 2025 di 2,80-2,90 miliardi di dollari dopo l'acquisizione, con l'affare che si prevede sarà accretivo in termini di utili nel secondo anno di attività.
Per il 2024, Globus Medical ha riportato vendite nette preliminari di 2,52 miliardi di dollari, un aumento del 60,6% rispetto all'anno precedente, mentre il fatturato preliminare mondiale di Nevro è stato di 408-409 milioni di dollari. L'acquisizione ha ricevuto approvazione unanime dai consigli di amministrazione di entrambe le aziende ed è soggetta all'approvazione dei soci di Nevro e delle autorità di regolamentazione.
Globus Medical (NYSE: GMED) ha anunciado la adquisición de Nevro Corp. (NYSE: NVRO) en una transacción completamente en efectivo valorada en aproximadamente 250 millones de dólares. Según el acuerdo, Globus Medical adquirirá todas las acciones de Nevro a 5.85 dólares por acción, lo que representa una prima del 27% sobre el promedio ponderado de las últimas 90 días.
Se espera que la transacción se cierre a finales del segundo trimestre de 2025 y tiene como objetivo expandir la presencia de Globus Medical en tecnologías de neuromodulación y manejo del dolor. La empresa anticipa ventas netas de 2.80 a 2.90 mil millones de dólares para 2025 después de la adquisición, con el acuerdo que se espera sea accretivo en ganancias en el segundo año de operación.
Para 2024, Globus Medical reportó ventas netas preliminares de 2.52 mil millones de dólares, un aumento del 60.6% año con año, mientras que los ingresos preliminares de Nevro fueron de 408-409 millones de dólares. La adquisición ha recibido la aprobación unánime de los consejos de administración de ambas compañías y está sujeta a la aprobación de los accionistas de Nevro y regulatorias.
글로부스 메디컬 (NYSE: GMED)은 네브로 코퍼레이션 (NYSE: NVRO)을 약 2억 5천만 달러의 현금 거래로 인수한다고 발표했습니다. 이번 계약에 따라 글로부스 메디컬은 네브로의 주식을 주당 5.85달러에 인수하며, 이는 90일 거래량 가중 평균에 비해 27%의 프리미엄을 의미합니다.
2025년 2분기 말에 거래가 완료될 예정이며, 이번 인수는 글로부스 메디컬의 신경 조절 및 통증 관리 기술의 범위를 확장하는 것을 목표로 하고 있습니다. 회사는 인수 이후 2025년 순매출이 28억에서 29억 달러에 이를 것으로 예상하며, 이번 거래는 운영의 두 번째 해에 수익 기여를 할 것으로 보입니다.
2024년에는 글로부스 메디컬이 25억 2천만 달러의 잠정 순매출을 보고했으며, 이는 전년 대비 60.6% 증가한 것입니다. 네브로의 잠정 전 세계 매출은 4억 8천만에서 4억 9천만 달러입니다. 이번 인수는 양사 이사회의 만장일치 승인을 받았으며, 네브로 주주 및 규제 당국의 승인을 받아야 합니다.
Globus Medical (NYSE: GMED) a annoncé l'acquisition de Nevro Corp. (NYSE: NVRO) dans le cadre d'une transaction entièrement en espèces d'une valeur d'environ 250 millions de dollars. Selon l'accord, Globus Medical acquerra toutes les actions de Nevro à 5,85 dollars par action, représentant une prime de 27 % par rapport à la moyenne pondérée par le volume sur 90 jours.
La transaction, dont la clôture est prévue fin du deuxième trimestre 2025, vise à renforcer la présence de Globus Medical dans les technologies de neuromodulation et de traitement de la douleur. L'entreprise prévoit des ventes nettes de 2,80 à 2,90 milliards de dollars pour 2025 après l'acquisition, le contrat étant censé être générateur de bénéfices lors de la deuxième année d'exploitation.
Pour 2024, Globus Medical a rapporté des ventes nettes préliminaires de 2,52 milliards de dollars, soit une augmentation de 60,6 % par rapport à l'année précédente, tandis que le chiffre d'affaires préliminaire mondial de Nevro s'élevait à 408 à 409 millions de dollars. L'acquisition a reçu l'approbation unanime des conseils d'administration des deux sociétés et est soumise à l'approbation des actionnaires de Nevro et aux approbations réglementaires.
Globus Medical (NYSE: GMED) hat die Übernahme von Nevro Corp. (NYSE: NVRO) in einer bar finanzierten Transaktion im Wert von etwa 250 Millionen US-Dollar angekündigt. Im Rahmen der Vereinbarung wird Globus Medical alle Nevro-Aktien zu einem Preis von 5,85 USD pro Aktie erwerben, was einem Aufschlag von 27 % auf den volumengewichteten Durchschnittspreis der letzten 90 Tage entspricht.
Die Transaktion, die voraussichtlich Ende des zweiten Quartals 2025 abgeschlossen wird, zielt darauf ab, die Präsenz von Globus Medical in den Bereichen Neuromodulation und Schmerzmanagement-Technologien auszubauen. Das Unternehmen erwartet, dass die Nettoumsätze für 2025 nach der Übernahme zwischen 2,80 und 2,90 Milliarden USD liegen, wobei der Deal im zweiten Betriebsjahr voraussichtlich gewinnbringend sein wird.
Für 2024 meldete Globus Medical vorläufige Nettoumsätze von 2,52 Milliarden USD, was einem Anstieg von 60,6 % im Vergleich zum Vorjahr entspricht, während Nevro einen vorläufigen weltweiten Umsatz von 408-409 Millionen USD verzeichnete. Die Übernahme wurde einstimmig von den Vorständen beider Unternehmen genehmigt und unterliegt der Zustimmung der Nevro-Aktionäre sowie regulatorischen Genehmigungen.
- Acquisition expands Globus Medical's market presence in neuromodulation and pain management
- Expected to be earnings accretive by second year of operation
- Transaction represents 27% premium to Nevro's 90-day VWAP
- Globus Medical reported 60.6% YoY growth in preliminary 2024 net sales to $2.52B
- Post-acquisition 2025 sales projected at $2.80-2.90B
- Projected decrease in 2025 non-GAAP EPS range ($3.10-3.40) compared to standalone guidance ($3.40-3.50)
- Significant cash outlay of $250M for acquisition
Insights
This
The financial implications are nuanced. While there's initial EPS dilution indicated by the revised 2025 guidance (
Strategically, this acquisition presents three key advantages:
- Market Expansion: Immediate entry into the
$2.5 billion chronic pain management market with established technology - Operational Leverage: Globus's infrastructure can accelerate Nevro's market penetration while optimizing costs
- Technology Integration: Potential for cross-pollination between Globus's musculoskeletal expertise and Nevro's neuromodulation capabilities
The timing is particularly opportune given Nevro's recent market challenges, allowing Globus to acquire proven technology and market presence at an attractive valuation. This consolidation could reshape competitive dynamics in the medical device sector, particularly in pain management solutions.
This strategic acquisition represents a significant technological convergence in the medical device sector. Nevro's high-frequency spinal cord stimulation technology, particularly its proprietary HFX platform, complements Globus Medical's existing musculoskeletal portfolio, creating an integrated approach to pain management solutions.
The merger's strategic value extends beyond immediate market expansion:
- Technology Integration: Potential for developing next-generation therapies combining musculoskeletal implants with neuromodulation capabilities
- Clinical Synergies: Enhanced ability to address both mechanical and neurological aspects of chronic pain
- Market Positioning: Strengthened competitive position against larger medical device companies in the pain management space
The acquisition timing aligns with increasing demand for non-pharmacological pain management solutions, particularly important given the ongoing opioid crisis. Globus's established distribution network and operational infrastructure could significantly accelerate the adoption of Nevro's technologies, particularly in underserved markets.
AUDUBON, Pa. and REDWOOD CITY, Calif., Feb. 06, 2025 (GLOBE NEWSWIRE) -- Globus Medical (NYSE: GMED), a leading musculoskeletal solutions company, and Nevro Corp. (NYSE: NVRO), a global medical device company that is delivering comprehensive, life-changing solutions for the treatment of chronic pain, today announced they have entered into a definitive agreement for Globus Medical to acquire all shares of Nevro in an all-cash transaction. Under the terms of the agreement, which was unanimously approved by the boards of directors of both companies, Globus Medical will acquire all shares of Nevro for
“This transaction furthers our mission to become the preeminent musculoskeletal technology company in the world by enabling us to expand into new markets for future growth, while gaining access to world-class, differentiated technologies that can provide significant benefit in neuromodulation, enabling technologies, and future implant solutions. We believe our size and operational capabilities will accelerate market penetration of Nevro’s technology and bring much needed and clinically superior relief to patients suffering from chronic pain,” said Dan Scavilla, President and CEO of Globus Medical. “In addition, our scale and operational discipline will allow us to optimize Nevro’s financial performance to drive enhanced profitability and create long-term value moving ahead.”
“We are thrilled to join Globus Medical as this will allow us to reach more patients globally with clinically proven, innovative products that significantly reduce the burden of chronic pain,” said Kevin Thornal, Nevro’s CEO and President. “Through Globus Medical’s capabilities, global infrastructure and other resources, we will be better positioned to achieve our full potential to become a broader and more diversified leader in the pain management space."
Transaction Terms
The
Globus Medical and Nevro Preliminary Full-Year 2024 Revenue Outlook:
- On January 8, 2025, Globus Medical announced preliminary 2024 net sales of
$2.52 billion , an increase of60.6% over prior year on an as-reported basis; and - On January 13, 2025, Nevro announced preliminary 2024 worldwide revenue of
$408 million to$409 million .
Globus Medical Full-Year 2025 Financial Outlook:
- On a stand-alone basis, Globus Medical reaffirms guidance for 2025 net sales of
$2.66 billion to$2.69 billion and fully diluted non-GAAP earnings per share range between$3.40 t o$3.50 ; and - Following the consummation of the transaction and assuming the transaction closes late in the second quarter 2025, Globus Medical anticipates 2025 net sales of
$2.80 billion to$2.90 billion and fully diluted non-GAAP earnings per share range between$3.10 t o$3.40 . - Globus Medical expects the Nevro acquisition to be accretive to its earnings in the second year of operation.
Full-Year 2024 Financial Reporting Dates
Globus Medical expects to report full financial results for 2024 and provide its updated financial outlook for 2025 during its scheduled earnings announcement on February 20, 2025.
Nevro expects to report its full-year 2024 financial results on March 4, 2025. In light of the pending transaction with Globus Medical, Nevro will not hold an earnings conference call and webcast or provide 2025 financial guidance when it reports its 2024 financial results.
Financial and Legal Advisors
Globus Medical’s financial advisor is Morgan Stanley & Co. LLC and Wyrick Robbins Yates & Ponton LLP is serving as legal advisor. Nevro’s financial advisor is BofA Securities, Inc. and Latham & Watkins LLP is serving as legal advisor.
About Globus Medical, Inc.
Based in Audubon, Pennsylvania, Globus Medical, Inc. is a leading global musculoskeletal company dedicated to solving unmet clinical needs and changing lives. We innovate with inspired urgency, provide world-class education and clinical support, and advance care throughout spine, orthopedic trauma, joint reconstruction, biomaterials and enabling technologies. Additional information can be accessed at www.globusmedical.com.
About Nevro Corp.
Headquartered in Redwood City, California, Nevro Corp. is a global medical device company focused on delivering comprehensive, life-changing solutions that continue to set the standard for enduring patient outcomes in the treatment of chronic pain. Nevro’s comprehensive HFX™ spinal cord stimulation (SCS) platform includes the Senza® SCS system and support services for the treatment of chronic pain of the trunk and limb and painful diabetic neuropathy. Nevro also provides minimally invasive treatment options for patients suffering from chronic sacroiliac joint pain. To learn more about Nevro, visit www.nevro.com.
Additional Information and Where to Find It
This communication may be deemed solicitation material in respect of the proposed transaction. A Nevro special stockholder meeting will be announced to obtain Nevro stockholder approval in connection with the proposed transaction. Nevro expects to file with the SEC a proxy statement and has filed or may file with the SEC other relevant documents in connection with the proposed transaction. Nevro stockholders are urged to read the definitive proxy statement and other relevant materials carefully and in their entirety when they become available because they will contain important information about Nevro and the proposed transaction. Investors may obtain a free copy of these materials (when they are available) and other documents filed by Nevro with the SEC at the SEC’s website at www.sec.gov, and at Nevro’s website at www.nevro.com.
Participants in the Solicitation
Nevro and its directors, executive officers and certain employees and other persons may be deemed to be participants in soliciting proxies from its stockholders in connection with the proposed transaction. Information regarding Nevro’s directors and executive officers is set forth in Nevro’s proxy statement on Schedule 14A for its 2024 Annual Meeting of Stockholders, which was filed with the SEC on April 12, 2024, and in Nevro’s Current Reports on Form 8-K filed with the SEC. Additional information regarding the persons who may, under the rules of the SEC, be considered to be participants in the solicitation of Nevro’s stockholders in connection with the proposed transaction and any direct or indirect interests they may have in the proposed transaction will be set forth in Nevro’s definitive proxy statement for its special stockholder meeting to be filed with the SEC in connection with the proposed transaction.
Safe Harbor Statements
All statements included in this press release other than statements of historical fact are forward-looking statements and may be identified by their use of words such as “believe,” “may,” “might,” “could,” “will,” “aim,” “estimate,” “continue,” “anticipate,” “intend,” “expect,” “plan” and other similar terms. These forward-looking statements are based on our current assumptions, expectations and estimates of future events and trends. Forward-looking statements are only predictions and are subject to many risks, uncertainties and other factors that may affect our businesses and operations and could cause actual results to differ materially from those predicted. These risks and uncertainties include, but are not limited to, the risks and costs associated with the integration of the Nevro business, trends in the medical industry and the ability of Globus Medical and Nevro to: (i) successfully integrate and achieve anticipated synergies, (ii) manage our growth, (iii) sustain profitability, (iv) sustain demand for products, (v) compete successfully (including without limitation success in convincing surgeons to use Globus Medical or Nevro products and the ability to attract and retain sales and other personnel, (vi) rapidly develop and introduce new products, (vii) develop and execute successful business strategies, (viii) comply with changes and applicable laws and regulations that are or may become applicable to Globus Medical and/or Nevro, (ix) safeguard our intellectual property, and (x) succeed in defending against legal proceedings in addition to general economic conditions and other risks. For a discussion of these and other risks, uncertainties and other factors that could affect our results, refer to the disclosure of each Globus Medical and Nevro contained in each company’s most recent annual report on Form 10-K filed with the U.S. Securities and Exchange Commission, including the sections labeled “Risk Factors” and “Cautionary Note Concerning Forward-Looking Statements,” and in each company’s Forms 10-Q, Forms 8-K and other filings with the U.S. Securities and Exchange Commission. These documents are available at www.sec.gov. Moreover, each of Globus Medical and Nevro operates in an evolving environment. New risk factors and uncertainties emerge from time to time, and it is not possible for Globus Medical and Nevro to predict all risk factors and uncertainties, nor can we assess the impact of all factors on the Globus Medical business and Nevro business, respectively, or the extent to which any factor, or combination of factors, may cause actual results to differ materially from those contained in any forward-looking statements. Given these risks and uncertainties, readers are cautioned not to place undue reliance on any forward-looking statements. Forward-looking statements contained in this press release speak only as of the date of this press release. Globus Medical and Nevro undertake no obligation to update any forward-looking statements as a result of new information, events or circumstances or other factors arising or coming to our attention after the date hereof.
Contacts:
Investors:
Brian Kearns
Senior Vice President, Corporate Development and Investor Relations
Phone: (610) 930-1800
Email: investors@globusmedical.com
www.globusmedical.com
Media:
Moran Chavez
Senior Director, Corporate Affairs
Phone: (619) 318-7681
Email: media@globusmedical.com
Nevro Investor & Media Contact:
Angie McCabe
Vice President, Investor Relations & Corporate Communications
Phone: (628) 261-9432
Email: angeline.mccabe@nevro.com
www.nevro.com
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