MiMedx Group Announces Acquisition of Sanara MedTech in $35-per-Share Deal
MiMedx Group (NASDAQ:MDXG) announced its agreement to acquire Sanara MedTech for $35 per share, expected to close by the end of 2026. The acquisition is projected to add over $100 million in surgical revenue and approximately $4 billion in addressable market opportunity. Post-acquisition, MiMedx expects about 75% of its revenue to come from surgical products with at least $20 million in annual cost synergies. MiMedx reported second-quarter sales of $64 million, a sequential increase driven by growth in surgical and wound-care segments despite challenges related to Medicare reimbursement changes. The company also reduced its adjusted EBITDA loss to $8 million from $12 million in Q1. To finance the acquisition, MiMedx secured a $300 million term loan and aims to deleverage below three times adjusted EBITDA within one year of closing. The combined entity is expected to generate revenue well above $400 million by 2027 with double-digit growth projections and an adjusted EBITDA margin exceeding 20%. CEO Joe Capper emphasized the strategic shift toward surgical products, while CFO Doug Rice outlined cost synergies primarily from general administrative expenses.