MEMPHIS, TN – Wright Medical Group Inc. (Nasdaq: WMGI) has finalized its $380 million purchase of Franklin-based BioMimetic Therapeutics Inc. (Nasdaq: BMTI) under terms that included an up-front payment of about $190 million in cash and stock.
Wright Medical, which is headquartered near Memphis in Arlington, Tenn.,announced its intent to acquire BioMimetic in November 2012. A release indicated approximately 7 million shares of Wright Medical stock will be issued as part of completing the transaction.
On Feb. 21 Wright announced its financial results through fourth-quarter 2012, reporting a quarterly sales decline of 3 percent and an annual decline of 5.6 percent.
However, sales in the company’s foot and ankle division increased almost 20 percent through the fourth quarter and more than 14 percent year-over-year. That momentum could be bolstered significantly if the FDA approves Augment, a BioMimetic product line for foot and ankle procedures.
BioMimetic CEO Dr. Sam Lynch will continue working with Wright Medical as the company works toward FDA approval for Augment.
The announcement from Wright Medical stated an estimated market opportunity of about $300 million if Augment receives FDA approval.