HQ Team
February 9, 2025: Globus Medical Inc, a US-based medical device company, will buy Nevro Corp. for $250 million in an all-cash deal.
Globus will acquire all shares of Nevro for $5.85 per share — a 17% premium to Nevro’s closing market price on February 5, 2025, according to a company statement.
The transaction is expected to close late in the second quarter of 2025, Globus, that posted 2024 net sales of $2.52 billion, an increase of 60.6% year-on-year, stated.
Nevro, a medical device company, focuses on developing musculoskeletal solutions for the treatment of chronic pain in areas such as spine, orthopedic trauma, joint reconstruction, biomaterials and enabling technologies.
Diabetic neuropathy
It is also a provider of support services for the treatment of chronic pain of the trunk and limb and painful diabetic neuropathy, and offers minimally invasive treatment options for patients suffering from chronic sacroiliac joint pain.
The deal will help Globus to expand into new markets and become a “preeminent musculoskeletal technology” by gaining access to differentiated technologies that can provide significant benefit in neuromodulation and future implant solutions, said Dan Scavilla, President and CEO of the Audubon, Pennsylvania-based Globus Medical.
The size and operational capabilities of Globus “will accelerate market penetration of Nevro’s technology and bring much needed and clinically superior relief to patients suffering from chronic pain,” he said.
Globus Medical has forecast revenue to grow between $2.66 billion and $2.69 billion in the full year 2025.
Revenue accretion
If the transaction closes late in the second quarter of 2025, Globus anticipates 2025 revenue of between $2.80 billion and $2.90 billion, according to the statement.
The Treatment of Musculoskeletal Diseases market is anticipated to achieve a revenue of $188.70 billion by 2025. This projection indicates a positive growth trend in the coming years, according to research company Statista.
With an estimated annual growth rate, 2025-2029, of 2.88%, the market volume is forecasted to expand to $211.40 billion by 2029.
US major market
When compared globally, the US is expected to be the leading contributor in terms of revenue, generating a substantial amount of $61.9 billion in 2025.
In January 2025, Zimmer Biomet Holdings, Inc. announced it will acquire Paragon 28 Inc. for $1.1 billion to expand into musculoskeletal care.
Zimmer will pay $12 a share in cash, and Paragon 28 shareholders will also receive a non-tradable contingent value right (CVR), entitling the holder to receive up to $1 per share in cash if certain revenue milestones are achieved.
