Zimmer Biomet said Wednesday it has completed its $1 billion purchase of Austin-based LDR Holding Corp.
LDR Holding, which was founded in 2000, develops surgical technologies for patients suffering from spine disorders. The company employs 200 people in Austin and over 550 globally.
Zimmer, which is based in Warsaw, Ind., makes orthopedic reconstructive products for procedures such as knee or hip replacements. Zimmer is paying LDR shareholders $37 a share.
"We are excited to officially welcome LDR to the Zimmer Biomet family," said David Dvorak, president and CEO of Zimmer Biomet. "Together with LDR, Zimmer Biomet will be a leader in the $10 billion global spine market and well-positioned in the fast-growing cervical disc replacement segment."
The purchase is being completed without a vote or meeting of LDR's shareholders because it's being treated as a merger. LDR will become a wholly-owned subsidiary of Zimmer Biomet.
Zimmer reiterated that LDR's senior leadership team, including CEO and president Christophe Lavgine, will "remain with the company in key leadership positions within global spine."
In Austin, Zimmer has a previous history of purchasing two medical device companies and then shutting them down, consolidating operations elsewhere.
The company has said it plans to keep LDR's Austin operations.
In its written statement, released Wednesday, Zimmer said LDR will "complement the spine business headquarters in Broomfield, Colorado by maintaining a significant presence in LDR's strong technology hubs of Austin, Texas and Troyes, France."