Integra to acquire Acclarent from Johnson & Johnson for $275M

Integra LifeSciences Holdings (IART) announced that it has entered into a definitive agreement to acquire Acclarent, from Ethicon, a Johnson & Johnson (JNJ) MedTech company for $275M in cash at closing, subject to customary purchase price adjustments, and an additional $5M upon the achievement of certain regulatory milestones. Acclarent is an innovator and market leader in ENT procedures and upon closing, Integra will be one of the leading providers of ENT products and technologies. Acclarent is headquartered in Irvine, California, and derives its revenues from U.S. product sales, which generated about $110M in 2022 and gross margins in line with Integra’s company average. The company maintains R&D facilities in Irvine and Haifa, Israel, and uses third-party manufacturers. Integra expects to provide detailed guidance regarding the financial impacts of this transaction upon closing. The transaction, subject to customary closing conditions and regulatory approvals, is expected to close by the Q2 of 2024. Following the close, transition services, including transition manufacturing services, will be provided for up to four years.