Updated with details on the company's plans to add logistics jobs next year
Nashville will soon be home to another health care corporate office following the announcement of a $165 million deal in the surgical instrument space.
Indiana-based Symmetry Medical on Monday said it will buy the instruments business of the Codman & Shurtleff division of Johnson & Johnson and merge it with its own instruments subsidiary. The combined venture, which will have about $100 million in revenue and a sales presence in 60 countries, will then be renamed Symmetry Surgical and relocate its headquarters to Antioch.
Symmetry bought a group of locally based surgical instrument companies in 2007, when those business had revenues of about $21 million. Based on Symmetry's Monday announcement, that number appears to have grown to $40 million since then.
Symmetry Surgical’s future local base will build on the 43,000-square-foot site near Interstate 24 and Old Hickory Boulevard its parent already has for its direct-to-hospital business. Symmetry Medical President and CEO Thomas Sullivan told NashvillePost.com the number of local employees won't change much for now — most of the U.S. workers affected by the J&J deal are in Massachusetts — but that he expects to add "more than 10 positions in customer service and distribution" in mid-2012 as some logistics work is moved here from the Bay State.
"The acquisition achieves several strategic objectives for Symmetry, including diversification of our revenue base with higher margin, intellectual property-backed products that generate strong cash flow,” said Sullivan, who also will lead Symmetry Surgical. “The acquired assets include a strategic capability in instrument procurement and add scale and a robust international presence to our hospital direct business.”
Symmetry Medical (Ticker: SMA) is based in Warsaw, Ind., and in the first nine months of this year, the company posted a profit of $6.1 million on revenues of $275 million.