Stryker to buy Plymouth-based Entellus Medical for $662 million
Plymouth-based medical device maker Entellus Medical, which went public in 2015, is set to be acquired in a $662 million deal by Michigans Stryker Corp.
Stryker has agreed to pay $24 per share for Entellus, a premium of about 50 percent from Wednesdays closing price. The deal is subject to regulatory approval.
The combination of Strykers established commitment to making health care better and Entellus innovative products within the ENT [ear nose and throat] segment will continue to provide our customers the tools they need for cost-effective solutions, Entellus chief executive Robert S. White said in the deal announcement.
Entellus makes minimally invasive devices to treat adult and pediatric patients who have chronic and recurrent sinusitis, and nasal airway obstruction, as well as and adult patients with persistent Eustachian tube dysfunction. The Entellus device portfolio includes several models of the XprESS balloon dilation system.
Entellus went public on Jan. 29, 2015, raising $78.2 million by selling 4.6 million shares at $17 per share.
In July, Entellus said it acquired Spirox Inc. of Redwood City, Calif. for $81 million, including $25 million in cash and the rest in stock.
Todays deal comes less than month after Entellus announced that Anthem, the largest member of the Blue Cross and Blue Shield Association, had agreed to cover balloon-sinus dilation for chronic and recurrent sinusitis. Following Anthems coverage policy, Entellus estimated that 95 percent of insured patients in the U.S. had access to the procedure, when deemed medically appropriate.
Stryker executives said they were interested in Entellus comprehensive portfolio of products used by physicians for a broad range of ENT procedures.
Star Tribune staff writer Patrick Kennedy contributed to this story. Joe Carlson 612-673-4779