OrthoSpin offers an automated, digitally-enabled strut system used in bone lengthening, setting complex fractures, and correcting limb deformities
Israel-based Trendlines Group has announced the sale of orthopaedics robotics system company OrthoSpin to Germany-based Synthes for a total of $79.5m in cash.
Synthes is a part of DePuy Synthes, a franchise of orthopaedic and neurosurgery companies owned by the Johnson & Johnson Medical Devices group.
Trendlines, which owns a 26.9% stake in OrthoSpin, will receive net proceeds totalling $15.8m from the transaction after deduction of related expenses.
The consideration represents a 165% internal rate of return (IRR) on the company’s total cash investment in OrthoSpin amounting to $1.3m.
Trendlines said that the acquisition will have a material positive impact on its net tangible assets per share and earnings per share for the financial year 2021.
Trendlines chair and CEO Todd Dollinger said: “We’re extremely proud of all that OrthoSpin has achieved culminating in an acquisition by a world leader in healthcare.
“Oren Cohen as CEO and Dr. Assaf Dekel as Active Chair of OrthoSpin did a remarkable job leading the Company and creating a technology that transforms treatment. The OrthoSpin success story is part of our mission of investing to improve the human condition.”
OrthoSpin offers AutoStrut G2, an automated, digitally-enabled strut system used in bone lengthening, setting complex fractures, and correcting limb deformities.
The system uses advanced technology to facilitate automated circular frame strut adjustments, eliminating the need for complex manual strut adjustments.
OrthoSpin has received the US Food and Drug Administration approval for its device in January 2021 and has completed initial clinical cases in the US and Israel.
Trendlines has been the founding investor of OrthoSpin and has participated in additional financings for the company, alongside support from the Israel Innovation Authority.
The company is engaged in the invention, discovery, investment, and incubation of medical and agricultural technologies that improve the human condition.
OrthoSpin active chairman Assaf Dekel said: “I would personally like to also thank JJDC. JJDC’s continuous support and early investment led to this acquisition and important step for the orthopaedic market.”
OrthoSpin CEO Oren Cohen said: “I am delighted to announce this news. I’m extremely proud of the team that succeeded in meeting critical and complex tasks during a worldwide pandemic and wish to thank all our partners who supported us throughout the journey.
“I look forward to continuing our journey with DePuy Synthes to bring a real revolution to the hexapod bone deformity market.”