Laborie Expands Its Obstetrics Portfolio
Laborie Medical Technologies Corp. has taken a significant step forward in enhancing maternal health solutions by announcing an agreement to acquire the JADA® System. This innovative device has gained recognition for its ability to manage and treat abnormal postpartum uterine bleeding. With this acquisition, Laborie reinforces its dedication to addressing critical health needs in obstetrics.
Details of the Acquisition
In a landmark agreement, Laborie will acquire the JADA System from Organon, a respected global healthcare company. The transaction is valued at up to $465 million, out of which $440 million will be paid at the closing of the deal. Additionally, there is a potential milestone payment of up to $25 million, contingent upon achieving specific revenue goals in 2026. The expected completion date for this acquisition is set for the first quarter of 2026, pending necessary regulatory approvals.
Impact on Maternal Health
Laborie's President and CEO, Chris Smith, expressed profound pride in this acquisition, emphasizing, "Childbirth is a crucial moment in a woman’s life. Every mother should be supported during this process. The JADA System enables care teams to provide effective treatment when it is most necessary." This focus on maternal health reflects Laborie's broader mission to enhance healthcare solutions for mothers and families worldwide.
Continuing the Mission
The JADA System, already available in over 2,000 hospitals across the U.S. and launched in more than 20 countries, stands as a recognized standard in postpartum hemorrhage (PPH) management. Organon’s interim CEO, Joseph Morrissey, shared his pride in the team's achievements with the JADA System, noting its positive impact on over 136,000 mothers. He believes that this agreement will further extend access to this critical device, allowing more mothers to benefit from advanced medical technologies.
Strategic Growth and Vision
Patricia Industries, which oversees Laborie, has also shown strong support for this acquisition. Sofia Gerard, a Principal at Patricia Industries, acknowledged, "The JADA System and its dedicated team are a perfect fit for Laborie, enhancing their commitment to maternal health worldwide." This acquisition aligns with Patricia Industries' strategic vision to grow its platform companies through acquisitions that propel their innovative missions, thereby ensuring long-term growth.
Partnership Synergy
Yuriy Prilutskiy, Co-Head of Patricia Industries, added, "The acquisition reflects our commitment to fostering companies that create value for society. By enhancing Laborie's portfolio, we take a step closer to supporting groundbreaking medical solutions for mothers everywhere." The enthusiasm surrounding this acquisition highlights the collaborative energy between Laborie and its new team.
Advisory Role
In this significant transaction, Guggenheim served as the exclusive financial advisor to Laborie. Legal guidance was provided by distinguished firms Simpson Thacher & Bartlett LLP and Cooley LLP, ensuring a smooth transaction process.
About Laborie Medical Technologies
Headquartered in Portsmouth, Laborie is a global pioneer in medical technology focusing on Urology, Gastroenterology, and Obstetrics. The company is dedicated to producing high-quality diagnostic and therapeutic products that restore dignity to patients. Its reputation as an expert in its segments is supported by a robust clinical education program. Additionally, Laborie is proudly backed by Patricia Industries.
About Patricia Industries
Patricia Industries focuses on nurturing companies to reach their potential, positioning them for long-term success. As part of Investor AB, which is owned by the Wallenberg Foundations, Patricia Industries prioritizes sustainable business growth and societal value through strategic investments.
Frequently Asked Questions
What is the JADA System?
The JADA System is an innovative medical device designed to manage postpartum uterine bleeding effectively.
Why did Laborie acquire the JADA System?
Laborie aims to enhance its obstetrics portfolio and improve maternal health solutions globally with this acquisition.
What is the acquisition's financial value?
The acquisition is valued at up to $465 million, including potential milestone payments based on future revenue targets.
When is the transaction expected to close?
The deal is anticipated to close in the first quarter of 2026, subject to regulatory approvals and closing conditions.
What impact will the acquisition have on maternal health?
This acquisition aims to expand access to the JADA System, promoting better healthcare solutions for mothers experiencing postpartum complications.
