Zimmer Biomet to Acquire Monogram Technologies, Expanding Orthopedic Robotics Portfolio

Zimmer Biomet, a leading orthopedics company, has announced plans to acquire Monogram Technologies for approximately $177 million, signaling a significant expansion of its robotic surgery capabilities. The deal, expected to close later this year, aims to bolster Zimmer's position in the competitive orthopedic robotics market and provide surgeons with more advanced options for total knee replacement procedures.

Acquisition Details and Financial Terms

Zimmer Biomet will purchase all outstanding shares of Monogram Technologies for $4.04 per share in cash, with a total equity value of about $177 million and an enterprise value of approximately $168 million. The agreement also includes potential additional payments of up to $12.37 per share in common stock, contingent on meeting specific development, regulatory, and revenue milestones through 2030.

The acquisition is anticipated to contribute to Zimmer's revenue growth starting in 2027 and is expected to be neutral to earnings per share for the first three years, becoming accretive to earnings from 2028 onwards. Following the announcement, Monogram's shares saw a significant increase of over 75% in Monday morning trading, reaching $5.78.

Expanding Robotic Surgery Capabilities

The acquisition of Monogram Technologies brings with it the mBōS robot, which received FDA clearance in March 2025 for total knee replacement surgeries. Unlike Zimmer's existing Rosa robot, which is designed for imageless surgeries or can use 2D X-rays for surgical planning, the mBōS system utilizes CT scans and AI navigation for orthopedic procedures.

Zimmer CEO Ivan Tornos emphasized the strategic importance of the acquisition, stating that it will give Zimmer "the most comprehensive and flexible technology ecosystem" to support surgeons' varying preferences. The combined company aims to "become the first company to deliver fully autonomous capabilities and redefine both the standard of care and the future of orthopedic surgery."

Future Developments and Market Implications

Monogram is currently working on developing a fully autonomous version of its robot and securing additional applications beyond total knee surgery. The integration of Monogram's technology with Zimmer's existing portfolio is expected to drive robotic knee adoption in the U.S. market.

The Monogram acquisition follows Zimmer's recent expansion efforts, including the receipt of 510(k) clearance for its Rosa shoulder system and a partnership with Think Surgical for a wireless handheld robotic knee surgery device. Additionally, Zimmer recently closed a $1.1 billion acquisition of Paragon 28, further solidifying its position in the orthopedic market.

As the orthopedic robotics field continues to evolve, this acquisition positions Zimmer Biomet to offer a broader range of solutions to surgeons and healthcare providers, potentially reshaping the landscape of orthopedic surgery in the coming years.