AUDUBON, Pa., Sept. 01, 2016 (GLOBE NEWSWIRE) -- Globus Medical, Inc. (NYSE:GMED), a leading musculoskeletal
implant manufacturer, today announced that it has successfully completed the previously announced acquisition of the international
operations and distribution channels of Alphatec Holdings, Inc., a publicly traded medical devices company (Nasdaq:ATEC).
David Paul, Chairman and CEO said, “We were able to close this transaction ahead of schedule thanks to the hard
work and cooperation of both companies involved. Strategically, this acquisition gives us immediate access to Japan and
increased presence and penetration in other key geographies, and significant scale, roughly doubling our international sales.
In addition, we will be acquiring a talent pool of international sales professionals as well as an extensive network of
international distributors. We remain excited about the future growth potential of our international business as a result of this
transaction.”
As a result of the acquisition, Globus Medical will assume Alphatec’s existing international direct and
distributor sales channels. Globus Medical intends to offer its own products through these sales channels, but during the
transition, Globus Medical will continue to sell Alphatec products. The transaction includes a supply agreement through which
Alphatec will supply its products to Globus Medical for up to five years.
About Globus Medical, Inc.
Globus Medical, Inc. is a leading musculoskeletal implant company based in Audubon, PA. The company was founded in 2003 by an
experienced team of professionals with a shared vision to create products that enable surgeons to promote healing in patients with
musculoskeletal disorders.
Non-GAAP Financial Measures
To supplement our financial statements prepared in accordance with U.S. generally accepted accounting principles (“U.S. GAAP”),
management uses certain non-GAAP financial measures. For example, non-GAAP Diluted Earnings Per Share represents diluted
earnings per share excluding the provision for litigation, acquisition related items, and adjusted for the tax effects of such
adjustments. We believe this non-GAAP measure is a useful indicator of our operating performance, and particularly as an
additional measure of comparative operating performance from period to period as it removes the effects of litigation and
acquisition related items, which we believe are not reflective of underlying business trends.
Non-GAAP Diluted Earnings Per Share is not calculated in conformity with U.S. GAAP. Non-GAAP financial
measures have limitations as analytical tools and should not be considered in isolation or as a substitute for financial measures
prepared in accordance with U.S. GAAP. These measures do not include certain expenses that may be necessary to evaluate our
liquidity or operating results. Our definition of non-GAAP Diluted Earnings Per Share may differ from that of other companies
and therefore may not be comparable.
Safe Harbor Statements
All statements included in this press release other than statements of historical fact are forward-looking statements and may be
identified by their use of words such as “believe,” “may,” “might,” “could,” “will,” “aim,” “estimate,” “continue,” “anticipate,”
“intend,” “expect,” “plan” and other similar terms. These forward-looking statements are based on our current assumptions,
expectations and estimates of future events and trends. Forward-looking statements are only predictions and are subject to
many risks, uncertainties and other factors that may affect our businesses and operations and could cause actual results to differ
materially from those predicted. These risks and uncertainties include, but are not limited to, factors affecting our
quarterly results, our ability to manage our growth, our ability to sustain our profitability, demand for our products, our ability
to compete successfully (including without limitation our ability to convince surgeons to use our products and our ability to
attract and retain sales and other personnel), our ability to rapidly develop and introduce new products, our ability to develop
and execute on successful business strategies, our ability to successfully integrate the international operations acquired from
Alphatec, both in general and on our anticipated timeline, our ability to transition Alphatec’s international customers to Globus
Medical products, our ability to realize the expected benefits to our results from the Alphatec acquisition, our ability to comply
with laws and regulations that are or may become applicable to our businesses, our ability to safeguard our intellectual property,
our success in defending legal proceedings brought against us, trends in the medical device industry, general economic conditions,
and other risks. For a discussion of these and other risks, uncertainties and other factors that could affect our results,
you should refer to the disclosure contained in our most recent annual report on Form 10-K filed with the Securities and Exchange
Commission, including the sections labeled “Risk Factors” and “Cautionary Note Concerning Forward-Looking Statements,” and in our
Forms 10-Q, Forms 8-K and other filings with the Securities and Exchange Commission. These documents are available at
www.sec.gov. Moreover, we operate in an evolving environment. New risk factors and
uncertainties emerge from time to time and it is not possible for us to predict all risk factors and uncertainties, nor can we
assess the impact of all factors on our business or the extent to which any factor, or combination of factors, may cause actual
results to differ materially from those contained in any forward-looking statements. Given these risks and uncertainties,
readers are cautioned not to place undue reliance on any forward-looking statements. Forward-looking statements contained in
this press release speak only as of the date of this press release. We undertake no obligation to update any forward-looking
statements as a result of new information, events or circumstances or other factors arising or coming to our attention after the
date hereof.
Contact: Daniel Scavilla Senior Vice President, Chief Financial Officer Phone: (610) 930-1800 Email: investors@globusmedical.com www.globusmedical.com
