Enovis closes $900M deal for orthopedics co. Lima
WILMINGTON – Enovis, the medical technology company headquartered in Wilmington’s suburbs, closed a deal to acquire global orthopedics technology company LimaCorporate for more than $900 million last week.
The Italian company known publicly as Lima was founded in 1945 by the Lualdi family and has grown into a global orthopedic implant manufacturer with a presence in 20 international markets, with a focus in Europe. The company was most recently privately owned by the equity firm, EQT, and offers products ranging from large joint revision and primary implants to complete extremities solutions.
Enovis is a year-old second chapter for Colfax Corp., a diversified conglomerate that reorganized to set its sights on a more defined vision of growing its products and services. Led by CEO Matt Trerotola, Enovis already featured the assets of the decades-old orthopedic products manufacturer DJO Global, which it acquired for more than $3 billion in 2019.
On Jan. 3, Enovis announced that it closed a deal to acquire Lima for about 800 million Euros – or just over $900 million – consisting of 726 million Euros in cash at closing and 100 million Euros in Enovis stock. The cash outlay was made from cash on hand as well as established revolving credit lines.
The acquisition of Lima will push Enovis to an annual revenue stream of about $1 billion, with about half coming from the fast-growing extremities markets.
Enovis, which already has thousands of employees around the world, will also expand its international markets and improve efficiency with state-of-the-art manufacturing facilities.
“We are excited to welcome Lima’s talented team to Enovis. The combination brings Enovis’ recon segment to $1 billion in revenues and creates a fast-growing innovator in the global orthopedic reconstruction market. This is another great example of how we use strategic acquisitions to accelerate our growth, add great technologies and talent to our company, and drive compounding value for our shareholders,” Trerotola said in a statement announcing the deal’s completion.
Lima is known for its additive manufacturing, such as its proprietary trabecular titanium, a 3D-printed biomaterial that imitates bone. New investments will reportedly accelerate the completion of a new production building at the Lima headquarters in San Daniele del Friuli, Italy.
Lima’s product portfolio is expected to reach $300 million in sales by the end of next year as its revenues have grown at a high single-digit annual rates over the past decade, and even reaching double-digits in recent years.