Johnson and Johnson is the latest medtech company to announce plans to segment its orthopedic business into its own company.
It is the latest in a recent trend of medtech companies parting ways with some, or all, of their spine and orthopedic assets.
Here are the most recent moves to know:
Johnson & Johnson: Johnson & Johnson is planning to separate its orthopedic business, which will operate as DePuy Synthes. Separation of DePuy Synthes is expected to be completed within 18 to 24 months.
The move “enables Johnson & Johnson to further strengthen its focus and investment toward higher-growth areas,” Johnson & Johnson CEO Joaquin Duato said in an Oct. 14 news release.
Stryker: Investment firm Viscogliosi Brothers acquired Stryker’s U.S. spine business in April. The deal was announced in January, and the spine segment became VB Spine with Marc, John and Anthony Viscogliosi serving as co-CEOs.
“We believe that the spinal implants business, with its comprehensive portfolio and strong sales channel, will thrive as an independent company,” Kevin Lobo, Stryker’s CEO, said in a Jan. 28 news release.
ZimVie: ZimVie, a spin-off company from Zimmer Biomet, sold its spine business to global investment firm H.I.G. Capital for $375 million in 2024. That business, Highridge Medical, was formed so ZimVie could focus on the dental industry.
In October, ZimVie stakeholders voted to move forward with an acquisition by Archimed.
Xtant Medical: Xtant Medical sold certain Coflex and CoFix spinal implants and all OUS entities of Paradigm Spine GmbH to Companion Spine. The assets sold for $19.2 million, and Xtant Medical plans to use the money to reduce long-term debt and add to cash liquidity. Companion Spine is a portfolio company of Viscogliosi Brothers.
