Zimmer Biomet Acquires Monogram Technologies in $177M Deal, Bolstering Orthopedic Robotics Portfolio

Zimmer Biomet, a leading orthopedics company, has announced plans to acquire Monogram Technologies for approximately $177 million, significantly expanding its presence in the surgical robotics market. The deal, expected to close by the end of 2025, will integrate Monogram's innovative mBôs robotic system into Zimmer Biomet's existing Rosa robotics platform, potentially revolutionizing total knee replacement procedures.

Acquisition Details and Financial Terms

Under the terms of the agreement, Zimmer Biomet will purchase all outstanding shares of Monogram stock for an upfront cash payment of $4.04 per share. Additionally, Monogram shareholders may receive up to $12.37 per share in contingent payments tied to regulatory and commercial milestones through 2030. The total equity value of the transaction is estimated at $177 million, with an enterprise value of approximately $168 million after accounting for debt and cash-on-hand.

The acquisition is subject to regulatory approval and the consent of Monogram's shareholders, with both companies' boards having already approved the deal. Zimmer Biomet expects the purchase to contribute to revenue growth starting in 2027 and to be neutral to earnings per share for the first three years, becoming accretive from 2028 onward.

Technological Advancements in Orthopedic Robotics

Monogram's mBôs system, which received FDA clearance in March 2025 for total knee arthroplasty, represents a significant advancement in orthopedic surgical robotics. The system utilizes CT scans and artificial intelligence for navigation, offering a more precise and potentially safer approach to knee replacement surgeries.

Key features of the mBôs system include:

• Pre-operative planning using CT scans
• AI-powered navigation for improved accuracy
• Establishment of instrument boundaries to protect soft tissue
• Compatibility with Monogram's mPress 3D-printed, press-fit implants

Zimmer Biomet plans to integrate this technology with its own line of implants, with a projected launch in early 2027. The company is also pursuing the development of a fully autonomous version of the robot, which would operate cutting tools via foot pedal control.

Strategic Implications for Zimmer Biomet

The acquisition of Monogram Technologies aligns with Zimmer Biomet's strategy to expand its robotics and navigation solutions portfolio. By incorporating Monogram's technology, Zimmer Biomet aims to offer surgeons a more comprehensive range of options, potentially driving the adoption of robotic knee surgeries in the United States.

Ivan Tornos, President and CEO of Zimmer Biomet, emphasized the significance of the deal, stating, "Monogram's technology is a major leap forward, demonstrating our commitment to becoming the boldest and broadest innovator in surgical robotics and navigation." He added that the acquisition positions Zimmer Biomet to potentially become "the first company to deliver fully autonomous capabilities and redefine both the standard of care and the future of orthopedic surgery."

This move follows Zimmer Biomet's recent expansion efforts, including the acquisition of Paragon 28 for $1.1 billion in April 2025 and a partnership with Think Surgical for a wireless handheld robotic knee surgery device. The company also received 510(k) clearance for its Rosa shoulder system last year, further broadening its robotics applications in orthopedic procedures.