Companion Spine, a French-American specialist in spine pain-management surgery, has agreed to acquire the Coflex Interlaminar Stabilization device and CoFix Posterior MIS Fusion System implants, Germany-based Paradigm Spine, its subsidiaries and all Paradigm Spine-related business activity globally from New York-listed Xtant Medical Holdings for approximately US$19.2m consisting of US$11m in cash at closing and US$8.2m in short-term seller financing.
The acquisition positions Companion Spine to be the holder of the world’s largest and most comprehensive product portfolio of MIS posterior dynamic spine stabilization and motion preserving solutions. It accelerates Companion Spine’s global market expansion, strengthens its presence in the US and enhances its competitive positioning in high-growth international markets.
Paradigm Spine, headquartered in Wurmlingen, designs, develops, markets and distributes a comprehensive range of spine implant solutions for the treatment of spine pain related disorders. Coflex and CoFix are two of the most widely used, successful posterior dynamic spine stabilization implants globally, with distribution to more than 60 countries, and with more than 280,000 Coflex devices implanted, treating more than 265,000 patients globally. More than 130,000 CoFix systems have been used to treat more than 125,000 patients globally.
With this acquisition, Companion Spine continues expands its mission to safely and effectively treat spine pain through treating lumbar and cervical diseases. The company will offer a full range of minimally invasive surgical (MIS) implant systems tailored to each stage of the disease condition and focused on delivering the systems for use in the outpatient care setting.
“This is an incredible opportunity to bring together two highly complementary product offerings to enhance Companion Spine’s ability to provide solutions across the full spectrum of pathological stages of LSS and DDD,” said Anthony G Viscogliosi, executive chairman and CEO of Companion Spine.
Paradigm Spine was previously part of the Viscogliosi Brothers portfolio and sold in 2019. It is now being reacquired through Companion Spine. Viscogliosi Brothers is a New York City-based family-owned investment firm specializing in the neuro-musculoskeletal space.
“We know the business, its customers and its talented team very well,” said Viscogliosi.
Companion Spine was formed through the acquisition of a dynamic stabilization and motion preservation product portfolio from Medtronic. The company was complemented by the acquisition of Backbone. With Paradigm Spine, “the company will become the largest posterior and cervical dynamic stabilization franchise business in the world,” he said.
Viscogliosi Brothers is the controlling and largest shareholder of Companion Spine.
For Xtant Medical, the sale allows it to focus on its core business – the development of higher-margin, best-in-class orthobiologics, meaningfully reduce its debt and improve its balance sheet.
“This is a terrific transaction for both organizations,” said Sean Browne, CEO of Xtant Medical. “This type of development is in the DNA of the Viscogliosi Brothers, while it is far afield of Xtant Medical’s core competencies.”
Close is expected in the third quarter of 2025.
Simultaneously with the execution of the definitive agreements, US$2.5m of the aggregate purchase price was paid to Xtant as a non-refundable cash deposit, except in the event Companion Spine terminates the Coflex/CoFix agreement due to certain breaches by Xtant under the agreement. Up to two additional US$2.5m cash deposits may be paid to Xtant by Companion Spine in the event it requires extra time to obtain financing. Assuming Companion receives its funding, it would pay Xtant an additional US$8.5m at or prior to closing, along with a further US$8.2m in the form of an unsecured promissory note to be issued by Companion Spine to Xtant. The promissory note will mature on 31 December 2025.
Innovatus Capital Partners is the current senior lender to Companion Spine.
Companion Spine is advised in this acquisition by Dorsey & Whitney as lead legal counsel, McDermott Will & Emery as tax and German legal counsel, Farber as intellectual property legal counsel, Natixis Partners as capital access financial advisor, FTI Consulting as strategic communications advisor, Deloitte Finance as financial due diligence advisor, MCRA as regulatory, clinical and reimbursement advisor, and UHY as US auditor.
Xtant Medical is advised by Fox Rothschild as legal counsel and LifeSci Partners as investor relations advisor.
Press release: CS_Press_Release_ENG_07082025.pdf
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