Smith+Nephew on Sept. 29 agreed to acquire the extremity orthopedics business from Integra LifeSciences for $240 million in cash.
The business unit includes ankle and shoulder arthroplasty as well as hand and wrist products. It posted $90 million in 2019 revenue and about $32.7 million in revenue during the first six months of 2020.
Smith+Nephew will expand the "reach and scale" of the extremity orthopedics portfolio, said Integra LifeSciences President and CEO Peter Arduini.
Mr. Arduini sees the transaction as a way to bolster the company's neurosurgery, surgical instrumentation and regenerative medicine portfolios.
Integra LifeSciences plans to use the net proceeds of the sale for debt reduction and reinvestment in organic and inorganic opportunities.
The deal is expected to close by the end of 2020.