Synergetics Buys U.K.-Based Sterimedix

Synergetics USA Inc., a medical device company that designs, manufactures and markets innovative surgical devices for ophthalmic and neurosurgical applications, has acquired Sterimedix Ltd., a private manufacturing company incorporated in England and Wales, for a net cash consideration of $13.5 million.

Sterimedix manufactures and distributes cannulas, needles and other disposable products for ophthalmic and aesthetic procedures. Sterimedix generated total revenue of approximately $6.4 million during its fiscal year ended Dec. 31, 2013. Sterimedix’s sales are expected to grow approximately 15 percent on a constant currency basis for the calendar year ended Dec. 31, 2014, according to company representatives. Sterimedix is solidly profitable on an operating basis. In addition to the cash consideration, the agreement provides for potential gross profit margin earn-outs through December 2017.

“The acquisition of Sterimedix expands the company’s operations, adding scalable operations to our established distribution footprint outside the U.S.,” said David M. Hable, Synergetics’ president and CEO. “Sterimedix fits squarely within our strategy to identify strong ophthalmic businesses to enhance our company’s long-term revenue growth and profitability. We anticipate the acquisition will be accretive to our fiscal 2015 operating and net income.” 

“Sterimedix’s portfolio of innovative surgical products for the ophthalmic and aesthetics markets represents a compelling fit within Synergetics’ comprehensive portfolio of proprietary products,” said Ronnie McFarlane, Stermedix’s managing director. “We look forward to expanding our business by leveraging Synergetics’ growing sales and distribution presence in the U.K. and we expect our Company to enhance Synergetics’ operations in the United Kingdom, Continental Europe and North America going forward.”

O’Fallon, Mo.-based Synergetics’ product lines focus upon precision engineered, disposable and reusable devices, surgical equipment, procedural kits and the delivery of various energy modalities for the performance of surgery including: laser energy, ultrasonic energy, radio frequency energy for electrosurgery and lesion generation; visible light energy for illumination; and where applicable, simultaneous infusion (irrigation) of fluids into the operative field.