Medical device makers NuVasive ( NASDAQ: NUVA ) and Globus Medical ( NYSE: GMED ) announced an agreement on Thursday to combine in an all-stock transaction giving NuVasive ( NUVA ) an equity value of more than $3B. Shares of both companies are currently on hold.
Per the terms, NuVasive ( NUVA ) shareholders will receive 0.75 of a share of Globus Medical Class A common stock for NUVA common stock owned giving the company an equity value of $3.1B or $57.72 per share, based on Globus Medical’s ( GMED ) last close.
Following the close of the deal expected in mid-2023, the combined company will be led by an eleven-member board represented by all eight directors from Globus Medical's ( GMED ) board and three from NuVasive's ( NUVA ) board.
Both companies announced preliminary financials for 2022 and 2023 outlook alongside with announcement.
Globus Medical ( GMED ) reported net sales growth rates of 6.8% and 8.2% while NuVasive ( NUVA ) posted 5.5% and 8.5% net sales growth for 2022 on a reported basis and constant currency basis, respectively. The companies’ projected net sales growth for 2023 stand at 7% – 8% and 6% – 8% on a constant currency basis.
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Globus Medical and NuVasive to combine in an all-stock deal