News Release

WARSAW — Warsaw-based OrthoPediatrics announced Tuesday, June 14, that the company has entered an agreement to acquire Pega Medical, which specializes in treating patients who suffer from osteogenesis imperfecta and other bone deformities.

David Bailey, chief executive officer of OrthoPediatrics, said, “We are excited to announce the agreement to acquire Pega Medical. Similar to OrthoPediatrics, the Pega organization has been focused exclusively on addressing unmet needs for children whose lives have been impacted by musculoskeletal disorders and diseases. Their product offerings include novel technologies to treat some of the most unique conditions in pediatric orthopedics. We are grateful for the leadership and vision of the Pega team, and founder Ariel Dujovne, in particular. I am looking forward to building on his legacy and our shared cause of helping even more kids with orthopedic conditions!”

OrthoPediatrics will acquire Pega Medical in a transaction valued up to $33 million, including an upfront cash payment of $31 million.

Prior to the acquisition, OrthoPediatrics successfully increased its line of credit with Squadron Capital from $25 million to $50 million. The Company plans to use $31 million from the newly expanded credit facility to finance the transaction.

Lastly, OrthoPediatrics is increasing its full-year 2022 revenue guidance range of $125 million to $128 million, representing a growth of 27% to 31%.

Founded in 1994 as a bioengineering services company, Pega has evolved to focus on key innovations within the trauma and deformity patient population, including developing the Fassier-Duval Telescopic IM System, an innovative implant designed to treat bony deformities in children with osteogenesis imperfecta without disrupting their normal growth.

Founded in 2006, OrthoPediatrics is an orthopedic company focused exclusively on advancing the field of pediatric orthopedics. As such, it has developed the most comprehensive product offering to the pediatric orthopedic market to improve the lives of children with orthopedic conditions.