Coloplast to Buy Fish-Skin Graft Maker Kerecis for Up to $1.3B

Coloplast began an up to $1.3 billion, upfront cash deal to acquire Kerecis, a company focused on biologics wound care.
 
Kerecis has engineered and patented a sustainable, scalable tech platform based on fish skin. It’s made with minimal processing and has similarity to human skin, which according to the company results in improved wound healing. Multiple clinical trials have evidence supporting the tech and it’s been used to treat tens of thousands of patients.
 
In June, the company introduced MariGen Shield, a medical-grade silicone contact layer that integrates with its fish-skin graft. The GraftGuide Mano and GraftGuide Micro fish-skin grafts entered the burn market in March.
 
Kerecis is expected to grow about 50% in its next fiscal year, with estimated CAGR of approximately 30% until FY 2025/26. The deal is expected to boost Coloplast’s group organic growth with about 1%-point contribution, as of FY 2024/25.
 
Coloplast raised its long-term organic growth guidance to 8-10% from the previous 7-9% as a result of the transaction, as well.
 
After the deal is completed, Kerecis will operate as a standalone business unit and retain its identity and brand. The $1.3 billion deal consists of a $1.2 billion upfront payment and earnout potential of up to $100 million.
 
The acquisition is expected to close in Q$ of Coloplast’s FY 2022/23.