Stryker has agreed to shell out at least $4.38 billion to settle more than 4,000 lawsuits alleging the medical device giant sold faulty metal hip implants that hurt patients.
Stryker took an earnings hit during the third quarter, in part to repatriate $2 billion in cash for acquisitions and to establish an EU regional headquarters in Amsterdam, where it has moved some intellectual property. The IP transfer is expected to reduce its effective tax rate from an expected 22% in 2014 to 20% next year.
Tela Bio, a Pennsylvania-based surgical reconstruction startup in stealth mode, raised $45.4 million from 29 investors, according to an SEC filing.
Spinal device specialist NuVasive said it's third in the spinal device market and is aiming now for second place along with more than $1 billion in annual revenue. Wall Street ate up that news, along with an earnings beat and raised guidance, and chased the stock up 10% in early trading on June 30.
Stryker delivered positive second quarter numbers buoyed by acquisitions in domestic and foreign markets, but the company remains tepid on the subject of corporate inversions as a way to boost profit.
With more M&A, product development and restructuring on the horizon, med tech CEOs have their work cut out for them in the coming year. But for now, here's the breakdown of what they took home in 2013.
Stryker will add the world's only PMA-approved, cementless, three-piece total ankle replacement system to its portfolio with its acquisition of Pennsylvania's Small Bone Innovations for up to $375 million in cash, the company announced June 30.
Qmed has put together the five biggest drops in profit for medtech companies in 2014, and it's not looking good for device giants so far this year.
Already a global giant in medical devices, Medtronic is considering growing even larger with a possible bid for Smith & Nephew, which has been the subject of M&A talk for the past few weeks following reports Stryker would seek to buy the U.K. maker of hip and knee replacements.
After rumors circulated that Stryker would lay down a bid for orthopedics rival Smith & Nephew, Stryker CEO Kevin Lobo confirmed that his company is considering a deal--even if it doesn't plan to make an offer anytime soon.