Symmetry Surgical Acquisition: Take-Private Transaction of $140.3M

On July 5, 2016 RoundTable Healthcare Partners, a private equity firm with an exclusive focus on healthcare industry, announced the closing of the acquisition agreement with Nashville-based Symmetry Surgical Inc. (NASDAQ:SSRG) for $140.3 million. The target is a leading manufacturer and distributor of surgical instrumentation and specialty devices.

Symmetry Surgical acquisition agreement, under which the target will cease to be a public company, became definitive in May. Under the agreement, Symmetry shareholders receive $13.10 in cash per share of the common stock. Final price is a 26% premium relative to the closing price of Symmetry common stock on April 29, 2016. On May 3, the company hosted a conference call to discuss the agreement, which was unanimously approved by the Board of Directors.

Symmetry Surgical acquisition represents a revenue multiple of 1.69 and an EBITDA multiple of 15.64. Top management of the target is expected to stay with the company after the acquisition. Thomas J. Sullivan, President and CEO of Symmetry Surgical, will stay as the leader of the company’s management.

The agreement was subject to customary closing conditions, including the approval by Symmetry’s shareholders and clearance under the amended Antitrust Improvements Act of 1976. If Symmetry had failed to get the shareholders’ approval of the transaction, the termination fee of $5.6 million would not have been payable.

Kapfer, a Senior Operating Partner of RoundTable who will chair the Board of Symmetry, expressed their excitement with the new partnership. Symmetry Surgical acquisition, their first take-private transaction, is part of a strategy started 15 years ago. Lester B. Knight, a Founding Partner of RoundTable, who chairs the Management Committee, added that RoundTable partners with companies that can leverage their operational and transactional expertise.

Based in Nashville, Tennessee, Symmetry Surgical develops and delivers advanced surgical instruments in collaboration with medical care providers world-wide. The company’s portfolio is among the most comprehensive portfolios in the industry.

Headquartered in Lake Forest, Illinois, RoundTable Healthcare Partners is a private equity firm with an exclusive focus on the healthcare industry. The company has built a vast and varied network of industry contacts and focuses on partnering with companies that can use these relationships and RoundTable’s operational expertise to create value. The four equity funds and three subordinated debt funds of RoundTable total at $2.75 billion.

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