New Delhi: Indian pharma major Zydus Lifesciences has entered into exclusive negotiations to acquire a majority stake in France-based orthopedic device maker Amplitude Surgical for up to €300 million (around $326 million).
Under the acquisition deal, Zydus will initially pay €256.8 million to acquire 85.6 per cent of Amplitude Surgical’s outstanding shares and voting rights at a price of €6.25 per share. The company will later launch a simplified cash tender offer for the remaining 14.4 per cent of shares for up to €43.2 million, aggregating the total deal value to €300 million.
During an announcement call, Dr. Sharvil Patel, Managing Director of Zydus Lifesciences, stated that Zydus aims to globalize its medical device business, with a current focus on orthopedic implants, cardiology, and nephrology. Describing the medical device sector as a “sunrise sector,” Dr. Patel emphasised that the company is actively pursuing both organic and inorganic growth opportunities to expand its presence in domestic and international markets.
“The medical device market alone is estimated at $0.5 trillion globally, offering tremendous growth potential,” Dr. Patel added.
According to the senior executive, this acquisition marks Zydus’ first brownfield expansion in the international medical device market.
Regarding future plans in the medical devices segment, Dr. Patel refrained from disclosing specific revenue targets but mentioned that the company aims to build a sizable market presence over the next 5-7 years.
Commenting on the impact of potential tariff changes by the new US administration, Dr. Patel clarified that Amplitude Surgical has no operations in the US, ensuring the company will remain unaffected by such developments.
Amplitude Surgical is a France-based lower-limb orthopedic technology developer that designs and manufactures knee and hip prostheses, which are implanted in place of damaged or worn-out joints.
In the six-month period ending December 31, 2024, Amplitude Surgical’s consolidated sales amounted to €51.5 million ($56 million), with an EBITDA margin of approximately 25.4 per cent . For the fiscal year ending June 30, 2024, the company generated sales of €106 million ($115 million) and reported an EBITDA of €27.1 million ($29 million).
In 2024, the global medical device market was valued at approximately $600 billion, with India representing only 1.5 per cent of the market. Currently, India remains heavily dependent on imports, with 80-85 per cent of its medical device requirements sourced externally.
Moreover, according to government data, India’s medical device import bill increased by 13 per cent in FY 2023-24, reaching ₹69,000 crore (approximately $8.31 billion).
However, an EY report suggests that the Indian medical device market, valued at approximately $12 billion in 2023-24, is projected to grow more than fourfold to $50 billion by 2030.
