IPO-bound Healthium Medtech, a global player in medical devices, today announced it has acquired AbGel gelatin sponge business from Mumbai-based SGK Labs, adding to its product portfolio focused on surgical and post-surgical care.
According to the statement, The deal will help Healthium Medtech to accelerate its growth and product portfolio. Wodehouse Capital was the sole financial advisor to SGK Labs in this transaction and Khaitan & Co acted as the legal counsel for the sellers.
AbGel is considered a market leader in the gelatin sponge business category, having more than 50% market share, the company claims. Mumbai-based SGK Labs is renowned for its quality and has been a preferred partner for leading hospitals and medical professionals across India. With this acquisition, Healthium aims to further expand the market access of this brand using its wide network of hospitals across India, the company said in a statement.
Speaking on the development, Viral Parekh, Managing Director, SGK Labs said:
“AbGel has been the leading and most trusted brand of haemostatic sponges. I am delighted that our product and brand provide immense synergies and is a natural fit for Healthium’s vast product portfolio.”
“Under Healthium’s management, I am confident that AbGel shall have a wider market reach in the ever-growing medical devices segment,” he adds.
Hemostasis during surgical procedures is an area of concern for surgeons. We are excited to add a brand like AbGel that has become synonymous with the gelatin sponge category and has been contributing to safer surgeries for over 4 decades, Anish Bafna, CEO, Healthium Medtech said. This acquisition strengthens our presence in the category and our commitment to drive value for our customers, he adds.
Founded in 1992 and owned by British private equity firm Apax Partners LLP, Healthium Medtech is one fastest growing global Medtech companies. Healthium’s product portfolio includes surgical sutures, needles, a patented arthroscopy portfolio, a urology portfolio, hernia meshes, haemostats, gloves, ligation clips, surgical staplers, and other wound closure devices. It holds or has applied for 60 patents in India and the United States.
The company has a global presence and exports to over 50 countries, including the USA, France, Germany, Italy, Switzerland, Brazil, Mexico, etc.