US-based medical device manufacturer Stryker has announced the acquisition of Hong Kong-based orthopedics medical device maker Trauson for $764m in cash, in a bid to expand into fast growing Chinese market.

Stryker said it will pay HKD7.50 ($0.97) for every share of Trauson, representing an enterprise value of approximately $685m.

Founded in 1986 in China, Trauson, which manufactures spine devices and products for trauma surgeries, accounted for sales of about $60m in 2011.

Stryker CEO Kevin Lobo said the firm’s decision to acquire Trauson is a critical step in widening its presence in Chinese marketplace and developing a value segment platform for the emerging markets.

"With its research and development expertise, manufacturing capabilities and strength of its distribution network, Trauson is a compelling opportunity for Stryker to drive growth in China and other emerging markets for years to come," Lobo added.

Trauson’s controlling shareholder, Luna Group, has agreed to tender 61.7% of Trauson shares.

Barclays Capital advised Stryker on the deal, which is expected to close by the end of the second quarter of 2013.