ReWalk Robotics announced the execution of a definitive agreement to acquire AlterG, a provider of anti-gravity systems for use in physical and neurological rehabilitation. Thes transaction adds AlterG’s product lines to ReWalk’s existing portfolio of neurorehabilitation products and is expected to substantially expand its customer-facing capabilities and advance future growth opportunities.
ReWalk paid a cash purchase price of approximately $19 million. Additional cash earnouts may be paid based upon a percentage of AlterG’s year-over-year future revenue growth over the next two years. AlterG generated revenue of $20 million in fiscal year 2022 with positive operating profit.
AlterG develops, manufactures, and markets anti-gravity systems, which reduce the effects of gravity and allow people to move in new ways with finely calibrated support and reduced pain.
“This transaction is truly transformative for ReWalk and is a milestone in our long-term strategy for growth from both our existing portfolio of products and from synergistic acquisitions,” said Larry Jasinski, CEO. “We believe this transaction will leverage our combined market presence from both businesses and, by creating sales and support efficiencies across all product lines, accelerate our path to profitability. Through this transaction, we believe we will create a formidable commercial infrastructure to support multiple additional products across the continuum of care from the clinic to the home.” “
“This transaction instantly creates the scale to fund next-generation enhancements to our existing products and to pursue other innovative and commercial rehabilitation technologies that further strengthen our relationships with our customers as a key resource for innovative solutions in neurological and physical rehabilitation,” said AlterG CEO Charles Remsberg, who will join the executive team at ReWalk in the role of chief sales officer.
