Reports of an acquisition agreement with Zimmer Biomet, a world leader in medical technology, caused shares of Paragon 28, Inc. (NYSE: FNA) to soar. The stock of FNA was up 8.41% at $13.01 as of the most recent market summary. The stock has demonstrated a Bullish performance in the Medical Devices industry, with a score of 44 on our ST screener. Visit screener link for a more thorough review of comparable peer stocks.
Paragon 28 Entered Acquisition Deal
A definitive agreement between Paragon 28 and Zimmer Biomet stipulates that all of the company’s remaining shares will be bought. With an enterprise value of $1.2 billion and an equity value of about $1.1 billion, the cash purchase price is fixed at $13.00 per share.
FNA shareholders will also get a non-tradeable contingent value right (CVR), which provides the opportunity to receive up to $1.00 in cash per share in the event that specific revenue milestones are met. The payout is dependent on Zimmer Biomet’s fiscal year 2026 net revenues surpassing $346 million to $361 million.
Strategic Expansion in the Foot and Ankle Market
Offering a wide spectrum of fracture and trauma, deformity treatment, and joint replacement devices, Paragon 28 specializes in foot and ankle surgery solutions. The purchase will boost Zimmer Biomet’s position in the rapidly expanding musculoskeletal care industry and diversify its company beyond core orthopedics. Cross-selling opportunities in the quickly growing Ambulatory Surgery Center (ASC) market are also presented by the purchase.
By utilizing Paragon 28’s creative product pipeline and skilled sales team to meet the intricate needs of foot and ankle therapies, the combination complements Zimmer Biomet’s growth plan. Given Zimmer Biomet’s global footprint, the purchase is anticipated to propel growth in the United States and abroad, strengthening the business’s position in the $5 billion foot and ankle market.
A New Era for Paragon 28
Paragon 28 wil remain improving patient outcomes and creating foot and ankle care. The company views the acquisition as a revolutionary step that will allow it to use Zimmer Biomet’s extensive resources and infrastructure while furthering its mission.