An M&A checklist for medical device companies

Emerging medical device companies should consider these points when weighing a potential merger, strategic partnership or investment, write Greenberg Traurig attorneys David Dykeman and David Peck.

By David Dykeman and David Peck

Last year was a banner year for medtech investment and mergers & acquisitions, as companies busted out of the recession in style.

As they gear up for their MedTech Partnering Day next week, asked David Dykeman and David Peck, co-chairs of the Global Life Sciences & Medical Technology Group at Greenberg Traurig, for a checklist emerging medtech companies should consider when weighing a potential deal:

  1. Identify unmet medical needs
    Medical device titans are actively looking to acquire new technologies to treat unmet medical needs and drive market adoption. Larger medtech companies often view early-stage companies as outsourced R&D labs, and will pay a premium price for products that can drive future revenue. The larger the potential market, the higher the value to medtech titans.
  2. Know the market and competitors
    Acquiring technologies that can transform or dominate a market drives many deals and collaborations. Disruptive technologies that improve patient outcomes are in high demand. Larger medtech companies are always on the lookout for new devices or improved treatments that have no or few competitors. Understanding the strategic investment goals and criteria of potential suitors will further refine and focus a growing medtech company’s efforts to gain visibility and generate productive relationships.


Josh Sandberg

Josh Sandberg is the President and CEO of Ortho Spine Partners and sits on several company and industry related Boards. He also is the Creator and Editor of OrthoSpineNews.

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