Stryker Corporation (SYK) Buys Mako Surgical For $30 Per Share In $1.65 Billion Deal
Kalamazoo, Michigan based Stryker Corporation (NYSE:SYK) is going to acquire Ft. Lauderdale, Florida based Mako Surgical. Mako is known for developing robotic assisted surgery tools. Stryker is going to pay $30 per Mako share, which is an 86% premium to the company’s $16.17 closing price as of Tuesday. This values the deal at $1.65 billion. Mako has around 47 million outstanding shares.
Mako’s products include the Rio robotic arm, the Restoris implants, and Makoplasty total hip arthroplasty. The RIO is a surgeon-interactive tactile surgical platform that uses a robotic arm and patient-specific visualization technology, which can ensure precise reproducible bone resection for the accurate insertion and alignment of MAKO’s RESTORIS implants. Mako Surgical has over 300 U.S. and foreign patents and patent applications.
“MAKO has established a compelling technology platform in robotic assisted surgery which we believe has considerable long term potential in joint reconstruction,” stated Stryker CEO Kevin Lobo. “The acquisition of MAKO combined with Stryker’s strong history in joint reconstruction, capital equipment (operating room integration and surgical navigation) and surgical instruments will help further advance the growth of robotic assisted surgery. Our combined expertise offers the potential to simplify joint reconstruction procedures, reduce variability and enhance the surgeon and patient experience. We look forward to welcoming the MAKO team to Stryker.”