Enovis Corporation announced a definitive agreement to acquire LimaCorporate S.p.A., a privately held orthopedic company focused on restoring motion through implant solutions, for about $840 million in cash and stock.
Founded in 1945, Italy-based Lima features technology that helps surgeons improve patient outcomes following joint replacement surgery.
The acquisition makes Enovis’ medical reconstruction area a $1 billion-a-year business. Annual revenues of Enovis are about $1.6 billion.
Enovis plans to finance the cash portion of the consideration through a combination of cash on hand, availability under its existing revolving credit facility, and committed financing.
The company expects Lima to generate sales of $290-$300 million and $70-$75 million of adjusted earnings before taxes and other expenses in 2024. The transaction is expected to be completed in early 2024.
Enovis, formerly Colfax, is the product of a spin-off of medical technology and an industrial company. Colfax changed its name to Enovis and moved its headquarters from Maryland to an office complex west of Wilmington.
Enovis shares are traded on the New York Stock Exchange.
