DePuy Synthes Acquired CrossRoads Extremity
Is it Enough to Renew What Some Consider a Dormant Foot and Ankle Portfolio?
This month, DePuy Synthes, a West Chester, PA company, acquired CrossRoads Extremity Systems, a Tennessee-based company providing sterile packed foot and ankle procedure-specific products. While details have not been fully disclosed, the acquisition comes a few years after private equity firm HealthpointCapital became the majority investor of CrossRoads.
“Healthy feet are a foundational element of overall good health, and we are thrilled about the acquisition of CrossRoads and the opportunity to accelerate meaningful innovation by strengthening our offering for elective foot and ankle procedures, enabling us to provide more comprehensive and leading-edge options to surgeons and patients,” said Oray Boston, Worldwide President, DePuy Synthes Trauma, Extremities, Craniomaxillofacial and Animal Health.
When venture capital firm HealthpointCapital became the majority investor in CrossRoads Extremity, the clock began ticking. Everyone knew it wasn't a matter of if the small company would be acquired, but who would acquire it and when.
In early January, buzz began growing as leaks of the deal began spreading; a few weeks later, the acquisition became public.
Will it work?
Undoubtedly, the big question now centers on whether CrossRoads Extremity’s financial success will translate into the same for DePuy Synthes. Prices for CrossRoads have been openly criticized on social media and word of mouth, as exorbitant ($5,000 per keel lock staple). DePuy Synthes has long been known for providing reliable, cost-effective fixation devices, which inarguably have enabled the company to ingrain itself contractually within a number of healthcare systems across the country.