logo
Share SHARE
FONT-SIZE Plus   Neg

RTI Biologics To Buy Pioneer Surgical Technology - Quick Facts

RTI Biologics Inc. (RTIX), a provider of orthopedic and other biologic implants, plans to acquire privately held Pioneer Surgical Technology, headquartered in Marquette, Mich. The Pioneer acquisition supports RTI's strategic initiatives to expand its current implant portfolio into metals and synthetics and to grow direct distribution.

Pursuant to the merger agreement, RTI would pay $130 million cash to acquire Pioneer's outstanding stock. RTI said it has received a commitment from TD Bank, N.A., TD Securities "USA" LLC and Regions Bank for a 5-year, $80 million senior secured facility, including a $60 million term loan and a $20 million revolving credit facility. Further, RTI has agreed to a $50 million private placement of convertible preferred equity with Water Street, a healthcare-focused private equity firm.

RTI's president and chief executive stated, "This acquisition will bring immediate scale, allowing us to reach our strategic goals and take advantage of growth opportunities more quickly than either company could do independently."

The transaction, which may close in the third quarter of 2013, would be funded via. a combination of cash on hand, a new credit facility and a concurrent private placement of convertible preferred equity from Water Street Healthcare Partners.

by RTT Staff Writer

For comments and feedback: editorial@rttnews.com

Business News

Quick Facts

Editors Pick
HSBC is reportedly laying off about 100 of its senior investment bankers worldwide, as the banking giant strives to curb operating costs. According to reports, the London-headquartered bank will eliminate managing director and director level employees at the Global Banking and Markets division, as... Samsung Electronics Co., Ltd. (SMSN.L, SSNNF.OB, SSNLF.OB) will reportedly blame faulty batteries for last year's Galaxy Note 7 fiasco. According to a Wall Street Journal report, Samsung's investigation of Galaxy Note 7 smartphones found that some batteries were irregularly sized while others had... Federal investigators have closed their probe of a fatal crash that involved a Tesla Motors Inc. car eight months ago. The regulators said they have found no safety defects in the vehicle's automated driving system and that Tesla's Autopilot-enabled vehicles did not need to be recalled.
comments powered by Disqus
Follow RTT