A British medical device manufacturing company plans to acquire Osiris Therapeutics Inc. for $660.5 million.
Smith & Nephew plc will pay $19 per share for Osiris in the all-cash deal expected to close in the second quarter. Columbia-based Osiris is coming off a tumultuous three-year period in which four CEOs left the company and several former executives faced criminal charges for fraud. Osiris develops products for wound care, orthopedics and sports medicine using stem cells.
London-based Smith & Nephew is paying a 37 percent premium from the 90-day weighted average stock price. Shares of Osiris were up less than 1 percent in trading Tuesday morning to $19.03.
Peter Friedl, chairman and co-founder of Osiris, said in a statement the deal is a “very good outcome” for shareholders and will help “take the business to the next level.”
I am immensely proud of the business we have built from our research into advanced regenerative technologies,I believe Smith & Nephew is the right home for Osiris and will allow our products to reach more customers, helping to restore quality of life for more patients.
All 360 of Osiris’ employees are expected to join Smith & Nephew upon completion of the deal.
Namal Nawana, CEO of Smith & Nephew, said the company wanted a greater presence in the $900 million U.S. skin substitute market. In 2012, Osiris became the first in the world to receive market approval for a manufactured stem cell product.Read More