Written by Laura Dyrda
The Wright Medical Group merger with Tornier has the orthopedic device industry buzzing, heralded as a smart move for Wright Medical’s business.
The $3.3 billion merger was driven by portfolio diversification and geographic expansion, which could contribute to its success. Other major mergers this year in the orthopedic device space have been focused more on the tax inversion strategy, which is under scrutiny by lawmakers.
However, Wright Medical and Tornier have taken a different route to create a mid-size orthopedic company focused just on extremities and biologics. The new company could command a 50 percent share of the global total ankle replacement market, according to GlobalData Analyst Linda Tian, MSc.
“Wright and Tornier’s lower extremity portfolios overlap, as both companies have a multitude of plating systems for fixation, as well as strong TAR lines for arthroplasty,” she said. “For example, both Tornier’s Salto Talaris/Salto system and Wright’s INBONE system are widely adopted to the global TAR market.”