mynth
← DATABASE
11/2023

PARAGON MEDICAL acquired by AMETEK

UNITED STATES Life Sciences / Medical Devices EV $1–10bn

Context

Paragon Medical has been acquired by AMETEK. This successful acquisition represents a significant tactical expansion of the group’s capabilities within the high-growth healthcare technology sector. Paragon Medical will join AMETEK’s Electromechanical division, creating a more diversified portfolio of mission-critical medical solutions. The strategic rationale hinges on the fusion of Paragon Medical’s leadership in surgical instrumentation and implantable components with AMETEK’s global reach and industrialized operating model. This operation will enable AMETEK to reinforce its ability to address the increasing demand for advanced orthopedic and robotic surgical tools driven by aging global demographics and the shift toward minimally invasive procedures.

By taking control of Paragon Medical, Ametek continues its expansion strategy. Previously, the group had completed 2 acquisitions, including Gatan in 2019.

PARAGON MEDICAL, which reported an EBITDA margin of [members only] in 2023, is valued in this transaction at an EV/EBITDA multiple of 15x–25x, representing a premium to the average currently observed in the Healthcare & Pharma sector (14.3x).

-> Deep-dive in Healthcare & Pharma market trends

Target

Paragon Medical functions as a premier technology-driven organization specializing in the design, engineering, and manufacturing of critical medical components and surgical instruments. The entity’s business model is built on an industrialized framework as a contract development and manufacturing organization (CDMO), providing technical operational depth to global medical device leaders. Its value proposition is anchored in high-precision micro-machining and specialized metallurgy for orthopedic implants, robotic surgical tools, and drug delivery systems. Strategically, the firm focuses on being a mission-critical partner in the healthcare supply chain, offering end-to-end solutions from prototyping to high-volume commercial production. By maintaining a diverse portfolio of single-use instruments and implantable hardware, the organization ensures the structural reliability of advanced therapeutic procedures. The entity prioritizes manufacturing excellence and technical agility to facilitate the rapid scaling of medical innovations in a highly regulated landscape.

Ent. Value

$1–10bn

Equity Value

[members only]

Multiples

EV / Revenue

2x–6x

EV / EBITDA

15x–25x

EV / EBIT

[members only]

Historical Financials (USD)

Year
Rev
EBITDA
EBIT
2023
$450–900M
$100–200M
[members only]
2022
$450–900M
$100–200M
[members only]

Other operations with PARAGON MEDICAL

Other operations with PARAGON MEDICAL

List of similar M&A transactions (Date, Acquirer, Target, Country, Sub-sector)
DateAcquirerTargetCountrySector
04/2020AMERICAN SECURITIESPARAGON MEDICALUNITED STATESMedical Devices
05/2018NNPARAGON MEDICALUNITED STATESMedical Devices

REFERENCES

Valuation range: EV $1–10bn

Revenue range: $450–900M

EBITDA range: $100–200M

EV/Revenue range: 2x - 6x

EV/EBITDA range: 15x - 25x

Note: This page provides detailed data on a private equity M&A transaction. Detailed and exact financial metrics for the acquisition of PARAGON MEDICAL by AMETEK are reserved for mynth community members. Register for free to unlock full data.

Authors: This transaction was contributed by a verified mynth contributor and cross-checked against available transaction documents and official company communications.

Press release: view release

Target: paragon medical

Acquirer: ametek