ConvaTec enters new market
By HME News Staff
Updated 9:37 AM CST, Mon January 31, 2022
BRIDGEWATER, N.J. – ConvaTec will enter the wound biologics segment with its planned acquisition of Memphis, Tenn.-based Triad Life Sciences for an initial consideration of $125 million.
The company says the wound biologics segment is estimated to be worth $1.8 billion per year globally.
“Today’s announcement marks another successful step in our strategic intent of pivoting to sustainable and profitable growth,” said Karim Bitar, CEO of ConvaTec. “This transaction will strengthen our Wound Care business and enable ConvaTec to enter the rapidly growing wound biologics segment. Triad Life Sciences has innovative and differentiated products and an exciting pipeline which is consistent with our vision – Pioneering trusted medical solutions to improve the lives we touch. We are delighted that (Russ Olsen, president and CEO) and the team have decided to join ConvaTec.”
The initial consideration also comprises two potential additional payments of $25 million each related to short-term milestones. Additionally, it comprises two earnout payments conditional on performance during the first and second year after the deal is completed, with a maximum earnout of $275 million.
Triad, founded in 2017, has 50 employees.
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