Globus Medical promotes new COO from within

Keith Pfeil. [Image courtesy of Globus Medical]Globus Medical (NYSE: GMED) + announced that it promoted CFO Keith Pfeil to the position of chief operating officer (COO).

Pfeil first took over the CFO post in August 2019. Globus Medical hopes his new expanded role can help further drive its strategic roadmap through business and operational planning in addition to financial performance management.

He continues reporting to Globus President and CEO Dan Scavilla.

“I am excited to take on the role of COO in addition to my current role of CFO, as Globus continues to build on the momentum we have created to transform our industry and help change more patient lives around the globe,” said Pfeil. “I look forward to continuing to work with our board of directors, Dan and the executive leadership team to further realize our growth potential.”

His responsibilities include overseeing all day-to-d…

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Globus Medical lays off 157 at former NuVasive headquarters

Globus Medical (NYSE:GMED) is letting go of 157 workers at NuVasive’s former headquarters campus in San Diego, according to a WARN report filed with the state of California.

The notice, dated Jan. 3 and shared by the California Employment Development Department with MassDevice, says the campus will stay open.

Workers received notice of the layoffs on Jan. 3; they go into effect March 5, according to the notice. The eliminated positions range widely: administrative, sales, legal, marketing, quality, engineering, and more.

The news comes more than four months after Audubon, Pennsylvania–based Globus Medical completed its merger with NuVasive, creating the second-largest spine tech company behind Medtronic.

In a statement shared with MassDevice, Globus Medical said: “As part of our ongoing integration, we recently announced some organizational restructuring across the combined company in support of our committed synergy delivery. We are n…

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Globus Medical, NuVasive complete merger

Globus Medical (NYSE: GMED) + and Nuvasive today announced the completion of their previously announced merger.

The news sent GMED shares down more than 1% to $53.30 apiece by midday today, while MassDevice‘s MedTech 100 Index was up slightly.

Truist analysts cited investor fears over the deal causing near-term business disruptions. Globus Medical officials plan to discuss the closing of the merger and its potential benefits during the company’s third-quarter earnings call in November.

Richard Newitter, Samuel Brodovsky and Lin Zhang at Truist said: “Spine mergers historically have tended to be messy and often involve more disruption than parties originally anticipated. It’s possible ‘this time will be different’ — GMED is an exceptional company with a strong history of stellar execution — but we are not ready to make that call.”

The combined company is the world’…

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The 10 largest orthopedic device companies in the world

The goal of Stryker’s Mako robotic-arm assisted surgery is to provide more predictable outcomes. [Image courtesy of Stryker] Two of the world’s largest orthopedic device companies expect accelerated revenue growth this year.

Stryker (NYSE: SYK) + and Zimmer Biomet (NYSE: ZBH) + both upped their 2023 guidance during recent earnings calls, a sign that orthopedic procedures are bouncing back from the COVID-19 pandemic.

GlobalData predicted earlier this year that the recovery will lift the ortho devices market to nearly $50 billion this year. The question is whether companies can continue the momentum. Stryker and ZB are betting on innovation, building arrays of products and services around their surgical robotics systems and surgical planning and digital health tools.

During Zimmer Biomet’s second-quarter earnings call, CEO Bryan Hanson noted that ZB has 40 planned product …

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Globus Medical beats The Street in Q2 as it prepares for spine tech merger

Globus Medical (NYSE: GMED) reported second-quarter results that beat analyst expectations, upping its full-year sales guidance as it prepares to merge with NuVasive.

The news yesterday evening came a day after NuVasive reported mixed results heading into the merger, which would create the world’s second-largest spine tech company after Medtronic. The CEOs of both Globus Medical and NuVasive, in their respective earnings calls, stuck by their plans to complete the merger in the present quarter.

Globus Medical CEO Dan Scavilla told analysts that the only step that the companies still needed to complete involved responding to the second request for information that they received from the U.S. Federal Trade Commission in May. Under the Biden administration, the FTC has taken a more aggressive stance in enforcing U.S. antitrust regulations, including in the medical device industry.

“We remain fully committed to the merger, and our expected Q3 …

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NuVasive reports mixed Q2 results ahead of expected merger with Globus Medical

NuVasive (Nasdaq: NUVA) + officials still plan to close the spine tech company’s merger with Globus Medical in the present quarter, despite the FTC scrutiny.

Along with reporting mixed second-quarter results, NuVasive CEO Chris Barry yesterday evening stuck by plans to merge with Globus Medical in the third quarter and create what would be the second-largest spine tech company in the world behind Medtronic. Barry noted that shareholders of both companies overwhelmingly approved the deal in April. Globus shareholders would own about three-fourths of the new company created from the merger.

However, the Federal Trade Commission in May requested additional information about the deal as it scrutinized whether it would harmfully reduce competition in the spine technology space. Based on the progress Barry saw in NuVasive’s response to the FTC’s second request, he said there would be no backing off on the d…

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FDA approves Globus Medical’s non-fusion scoliosis correction system

Globus Medical this week announced it received FDA approval for its Reflect non-fusion scoliosis correction system for young patients.

The Audubon, Pennsylvania-based company designed Reflect to correct progressive scoliosis in young patients while preserving motion, maintaining stability and allowing for future modulated growth.

“Treating scoliosis in the growing spine presents challenges related to reduced spinal mobility,” said Dr. Juan Rodrigues-Olaverri, board-certified orthopedic surgeon and Director of Pediatric Spinal Deformity Surgery and Early Onset Scoliosis at NYU Langone. “Reflect is an exciting development for curve correction that preserves freedom of motion in these young patients, and employs their own remaining growth to help repair the spinal curvature without the need for fusion.”

Reflect uses a flexible, durable cord that harnesses the power of innate patient growth for correction. The flexible cord is tensioned on the co…

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NuVasive, Globus Medical shareholders approve merger

NuVasive (Nasdaq:NUVA) and Globus Medical (NYSE:GMED) both saw shareholders approve their proposed merger yesterday.

In February, the companies announced an agreement to combine in an all-stock transaction. The deal values NuVasive at $3.1 billion, with Globus shareholders owning roughly three-fourths of the newly merged company.

BTIG analysts raised the question of potential anti-trust challenges for the deal. Such a merger would create the second-largest spine tech company behind Medtronic.

Both companies held separate special meetings of shareholders yesterday, April 27. NuVasive shareholders voted to approve the adoption of the merger, which sees them receive 0.75 of a share of Globus Medical Class A common stock for each share of NuVasive common stock owned at closing.

NuVasive and Globus expect the proposed merger to close after clearance from regulatory authorities and other customary closing conditions. At that time, they expect NuVasive s…

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Globus Medical grows sales nearly 10% in Q4

Globus Medical (NYSE:GMED) this week posted fourth-quarter results that beat the earnings consensus on Wall Street but missed revenue estimates.

The Audubon, Pennsylvania-based company reported profits of $50 million, or 49¢ per share, on sales of $274.5 million for the three months ended Dec. 31, 2022, for a bottom-line gain of 231.4% on sales growth of 9.79%.

Adjusted to exclude one-time items, earnings per share were 59¢, 3¢ ahead of The Street, where analysts were looking for sales of $276.67 million.

“Globus Medical was founded twenty years ago with a small group of talented engineers who had a vision of improving care for patients with musculoskeletal disease,” President and CEO Dan Scavilla said in a news release. “The fourth quarter of 2022 was a record-setting quarter, with record-breaking total sales, U.S. Spine sales, and Enabling Technologies sales. Our future continues to look bright as we improve the lives of patients, surgeons, emplo…

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Could 2023 be a boom year for orthopedic devices?

The goal of Stryker’s Mako robotic-arm assisted surgery is to provide more predictable outcomes. [Image courtesy of Stryker]The orthopedic devices market is expected to reach nearly $50 billion this year as procedures bounce back from COVID-19, according to GlobalData.

GlobalData predicts the orthopedic surgical robotics space will be even hotter this year, growing 25.6% year-over-year to $984 million.

“Boosted by artificial intelligence (AI) and machine learning, new generations of orthopedic robots are expected to further improve clinical outcomes. Unlike the general surgery robotics market — which is dominated by only one company, Intuitive Surgical — all major orthopedic manufacturers are competing in the orthopedic robotics market,” Tina Deng, principal medical devices analyst at GlobalData, said in a news release posted Feb. 1.

In addition, Global Data noted that the pandemic has accelerated the shift of procedures to outpatient or ambulat…

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Globus Medical, NuVasive to merge to form global musculoskeletal company

Globus Medical (NYSE:GMED) and NuVasive (Nasdaq:NUVA) today announced an agreement to combine in an all-stock transaction.

The two musculoskeletal technology companies share a vision focused on improving patient care, according to a news release.

Under the terms of the agreement — which both companies’ boards unanimously approved — NuVasive shareholders receive 0.75 of a share of Globus Class A common stock for each share of NuVasive common stock owned at closing. Based on the exchange ratio, the implied share price for NuVasive totals $57.72. That amounts to an equity value of $3.1 billion.

Following the closing of the transaction, 28% of ownership goes to NuVasive shareholders. Meanwhile, the remaining 72% belongs to Globus shareholders on a fully diluted basis.

NuVasive CEO Chris Barry said the companies share “complementary capabilities, geographic footprints and customer bases.”

“This transaction reflects our mi…

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Globus Medical posts mixed-bag Q3 results

Globus Medical (NYSE:GMED) this week posted third-quarter results that were in line with the revenue consensus on Wall Street but missed earnings estimates.

The Audubon, Pennsylvania-based musculoskeletal device company reported profits of $47.4 million, or 47¢ per share, on sales of $254.14 million for the three months ended Sept. 30, for a bottom-line gain of 0.5% on sales growth of 10.63%.

Earnings per share were 2¢ behind The Street, where analysts were looking for sales of $254.14 million.

“Our third quarter sales grew 12.6% on a constant currency basis, as we continue to make market share gains by providing industry-leading innovative solutions in spine care,” President and CEO Dan Scavilla said in a news release.

“Our U.S. Spine business grew an impressive 9.0%, which is evidence of our ability to hold the share gains we’ve made in the past several years, while also continuing to take new share across the U.S. market. International Spine sa…

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