OrthoPediatrics (Nasdaq:KIDS) today announced that it is acquiring MD Orthopaedics in a transaction valued up to $19.6 million.
The Warsaw, Indiana-based will acquire MD Orthopedics and its bracing product lines and Mitchell Ponseti ankle-foot orthosis system to treat clubfoot. Under terms of the agreement, OrthoPediatrics buy the Wayland, Iowa-based company for an upfront cash payment of $8.2 million and $8.9 million in company stock with an additional $2.5 million in restricted stock which vest after three years.
MD Orthopaedics is a privately-held company that develops and commercializes custom fit bracing systems that support the gold standard treatment for clubfoot known as the Ponseti Technique. It will be integrated into OrthoPediatrics’ trauma and deformity business and will continue to focus on the treatment of clubfoot.
OrthoPediatrics plans to grow the MD Orthopaedics product offerings and develop new technology that addresses other unme…