Fairness opinionsMedical Devices and Supplies2023

NuVasive acquired by Globus Medical: fairness opinion

Announced February 9, 2023 · Merger · DEFM14A filed March 28, 2023
Medical Devices and Supplies Medical Devices Filing detail pending
Enterprise value
$3.1B
EV / LTM EBITDA
10.6x
EBITDA $293M · 23% margin
EV / LTM revenue
2.46x
revenue $1.3B
DCF discount rate
7.5%–9.5%

Deal terms

Consideration
Price per share
Premium
Premium basis
StructureMerger
Termination fee
Reverse termination fee
Go-shopNone
Outside date
3,000+ healthcare deal-level valuation multiples
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Management projections

Projection yearYear 1Year 2Year 3Year 4CAGR
Revenue$1.3B$1.4B$1.5B$1.5B5.2%
Revenue growth5.0%5.4%5.2%5.0%
EBITDA$313M$331M$353M$381M6.8%
EBITDA growth6.8%5.8%6.6%7.9%
EBITDA margin24%24%24%25%
Implied EV / EBITDA9.9x9.4x8.8x8.1x

Year-1 growth is against LTM at announcement ($1.3B revenue, $293M EBITDA); later years are year over year.

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