GLOBUS MEDICAL INC acquired Alphatec's International Business for approximately $80 million in cash (plus a 5-year senior secured credit facility of up to $30 million extended to Alphatec), a transaction announced in July 2016, structured as all cash. The deal was a Carve-out.
Alphatec's International Business operates in Spine — international distribution and operations, is based in International — Asia, Europe and the Americas (acquired by Globus Medical Ireland, Ltd.), had revenue of about Approximately $71 million in 2015 international sales (and $15.6 million in Q1 2016). The international operations and distribution channels of Alphatec Holdings, Inc. (Nasdaq: ATEC), covering direct and distributor sales channels across Asia, Europe and the Americas, including subsidiaries in the UK, Italy, the Netherlands, France, Germany, Hong Kong, Japan, Brazil, China, Singapore and Australia.
Gives Globus immediate access to Japan and increased presence and penetration in other key geographies and significant scale, roughly doubling its international sales, plus a talent pool of international sales professionals and distributors.
Immediate access to Japan and other key international markets, roughly doubling Globus's international sales and adding an established distributor network. Expected to be marginally accretive in 2017 and to add up to 8 cents of incremental non-GAAP diluted EPS in 2018 and beyond. Acquired through Globus Medical Ireland, Ltd.; includes a 5-year supply agreement under which Alphatec supplies products to Globus during transition
Strategically, this acquisition gives us immediate access to Japan and increased presence and penetration in other key geographies, and significant scale, roughly doubling our international sales. In addition, we will be acquiring a talent pool of international sales professionals as well as an extensive network of international distributors.David Paul, Chairman and CEO, Globus Medical
Advisory firms were not disclosed for this transaction.