Vance Street Capital LLC has sold A&E Medical to Zimmer Biomet for $250 million. Stephens Inc served as financial advisor to A&E Medical and Vance Street Capital on the transaction. Based in Farmingdale, New Jersey, A&E Medical is a maker of sternal closure devices.
LOS ANGELES–(BUSINESS WIRE)–Vance Street Capital LLC (“Vance Street”) is pleased to announce it has completed the sale of A&E Medical Corporation (“A&E Medical”) to Zimmer Biomet (NYSE: ZBH) (“Zimmer”), a global leader in musculoskeletal healthcare, for $250 million. The transaction marks the second exit out of Vance Street’s Sophomore Fund.
Founded in 1968 and headquartered in Farmingdale, New Jersey, A&E Medical is a leading designer and manufacturer of a comprehensive portfolio of sternal closure devices including A&E DoubleWire™, the A&E Medical® Sternal Cable System, and the Thorecon® and Tritium® rigid fixation systems; along with a wide variety of temporary cardiac pacing wires including the MYO/Wire® Ultra-Thin and MYO/Wire® Ultra-Flex brands; disposable patient cables; and A&E Medical® Surgical Punch.
Vance Street acquired A&E Medical from the Wojciechowicz family in 2016 and proceeded to further A&E’s position as an innovative supplier to the cardiovascular end markets.
“Our team had a clear value creation plan going into the investment,” said Vance Street Managing Partner Mike Janish. “We executed on that plan in close partnership with management to drive strong organic growth, increased the platform’s manufacturing capacity, strengthened the quality system and invested in product innovation to further enhance the company’s leadership in the market.”
A&E Medical successfully completed two strategic acquisitions under Vance Street’s ownership. In November 2016, A&E Medical acquired Medical Concepts Europe, a manufacturer of bi-polar and quad-polar pacing wires based in the Netherlands, increasing the platform’s presence in Europe and broadening the company’s product portfolio. In July 2017, A&E completed the acquisition of RTI Surgical’s Cardiothoracic closure business in a corporate carve-out transaction from RTI Surgical (NASDAQ: SRGA). The acquisition added complementary product offerings, including sternal cables and plating systems, positioning A&E Medical as the only comprehensive sternal closure manufacturer in the world.
“Our investment in A&E Medical is a great example of Vance Street’s investment thesis of transforming unique entrepreneurial companies into strategic assets,” said Vance Street Managing Partner, Brian Martin. “From the onset of our investment in A&E Medical, we were focused on executing our strategic roadmap and deliver targeted financial and operational support aimed at building an industry leader in the cardiovascular MedTech market. We are proud to have played a role in A&E Medical’s tremendous growth under our ownership and would like to thank the entire A&E Medical team for their contributions to the business.”
Tom Sullivan, President & Chief Executive Officer of A&E Medical, said, “Vance Street’s commitment to our long-term success has been evidenced by the substantial investments they have made in our Teammates, capabilities, and product portfolio. These investments, and more importantly Vance Street’s guidance, have led to unprecedented growth positioning us well for the future as part of Zimmer Biomet.”
Paul Hastings LLP acted as legal advisor to A&E Medical and Vance Street Capital. Stephens Inc. served as financial advisor to A&E Medical and Vance Street Capital on the transaction.
About Vance Street Capital LLC
Vance Street Capital is a middle-market private equity firm focused on investing in highly engineered solutions businesses across the medical, aerospace, defense, and industrial sectors. For over two decades, Vance Street’s partners have worked with management teams and family owners to accelerate revenue growth, improve operations and acquire strategic assets for the companies in their investment portfolio. For more information please visit: www.vancestreetcapital.com.
About Zimmer Biomet
Founded in 1927 and headquartered in Warsaw, Indiana, Zimmer Biomet is a global leader in musculoskeletal healthcare. We design, manufacture and market orthopedic reconstructive products; sports medicine, biologics, extremities and trauma products; office-based technologies; spine, craniomaxillofacial and thoracic products; dental implants; and related surgical products. We collaborate with healthcare professionals around the globe to advance the pace of innovation. Our products and solutions help treat patients suffering from disorders of, or injuries to, bones, joints or supporting soft tissues. Together with healthcare professionals, we help millions of people live better lives. We have operations in more than 25 countries around the world and sell products in more than 100 countries. For more information, visit www.zimmerbiomet.com or follow Zimmer Biomet on Twitter at www.twitter.com/zimmerbiomet.