Alphatec Holdings has entered into an agreement to buy spine implant business of US-based Phygen for $15.2m, following the approval from board of directors.
Alphatec Spine CEO Les Cross said the company's growth strategy for 2012 and beyond includes a focus on new product launches and acquisitions.
"We have since launched new products such as our Bridge Point Spinous Process Fixation System, acquired exclusive U.S. distribution rights to market a synthetic bone growth biologic under our own brand name of Alphatec NEXoss and we have plans to acquire certain assets of Phygen, LLC, which we hope to close shortly," Cross added.
The closing of the transaction is subject to the approval of a majority of the members of Phygen, the execution of the definitive documents and customary closing conditions set forth in the definitive documents.
Phygen board of governors member and neurosurgeon Mark Renfro said upon closing, the company will look to bring its product development process, which has a foundation in design input from active spine surgeons and strategic direction from its Scientific Advisory Board, into the Alphatec family.
"All in all, I believe that this proposed transaction is a real win-win for Phygen and Alphatec," Renfro added.
