Surgical Innovations Group plc , the designer and manufacturer of medical technology for minimally invasive surgery, has completed the acquisition of the laparoscopic instruments business and related assets of Surgical Dynamics Limited (“SDL”) for a cash consideration of approximately £0.36m, including assumed debt of not greater than £0.05m. Consideration will be funded from existing cash resources.
SDL is a privately owned company based in County Durham, and specialises in the design, development and rapid prototyping of a range of medical products. Revenues for the year ended 31 December 2015 amounted to £0.12m and loss before tax was £0.17m. In addition to these development activities, SDL has introduced specialist production processes including metal injection moulding of medical components, which are of particular relevance to SI Group and others in this sector.
Following this transaction, all of SDL’s business in the production and distribution of single-use laparoscopic products will be relocated to the SI Group site at Leeds, and SDL has undertaken to offer any new products developed in the laparoscopic field exclusively to SI Group for a minimum period of three years.
Managing Director of SI Group, Melanie Ross, commented: “We are delighted to be working with SDL and its owners to further broaden our product portfolio, and bring additional precision manufacturing techniques to our facility at Leeds. This is an exciting opportunity to increase our appeal to distributors and end-user customers across a number of geographical markets, and will further enhance our competitive position in the UK and elsewhere. This is the first acquisition by SI Group following board changes over the last twelve months, and we continue to seek further opportunities to build on our expanding market presence.”