Novanta acquires Riverpoint Medical

Novanta>>> has entered into a definitive agreement to acquire Riverpoint Medical>>> from Arlington Capital Partners>>> for an upfront cash consideration of $1.2 billion and a milestone payment of $250 million in Q1 2027, totaling up to $1.45 billion. The transaction, expected to close in Q3 2026, aims to double Novanta's>>> recurring medical consumables revenue to approximately $300 million and increase its medical end-market exposure to 60% of total revenue. Riverpoint Medical>>> specializes in minimally invasive surgical consumables, including sutures and implantable materials, and is projected to deliver 12% to 15% annual revenue growth. The acquisition is expected to be immediately accretive to Novanta's>>> adjusted diluted earnings per share in 2026 and enhance revenue growth, margins, and operating cash flow from 2027. Financial advisors for Novanta>>> included Baird (investment bank)>>> and JPMorgan Chase — JPMorgan Chase>>>, with legal counsel from King & Spalding>>> and Ropes & Gray>>>. Jefferies>>> advised Riverpoint Medical>>> financially, and Goodwin Procter>>> provided legal counsel.