Generic drug manufacturer Zydus Lifesciences, which is set to acquire France-based Amplitude Surgical, a leader in lower-limb orthopaedic implants, is a strategic move to diversify into high-growth medical technology markets.
On Tuesday, Ahmedabad-based pharmaceutical giant Zydus Lifesciences announced that it is acquiring an 85.6 per cent stake in France-based Amplitude Surgical, a leader in orthopaedic implants, for €256.8 million (₹2,430 crore). The deal, which includes a mandatory cash tender offer for the remaining 14.4 per cent shares, could push the total acquisition value to €300 million (₹2,850 crore).
Zydus will pay €6.25 per share for Amplitude Surgical, representing an 80.6 per cent premium over its last closing price on March 10, 2025. The transaction, expected to close by mid-2025 pending regulatory approvals, will be funded through a mix of debt and internal accruals.
Analysts tracking the pharma industry believe that Amplitude’s cash pile of € 26 million and surplus manufacturing capacity will boost Zydus’s earnings per share (EPS), eliminating immediate capital expenditure.
Amplitude Surgical reported €51.5 million in sales for the first half of FY25 (December 2024), reflecting a 5 per cent year-on-year growth, with an EBITDA margin of 25.4 per cent. For FY24, the company generated €106 million in revenue and €27.1 million in EBITDA. These figures align with Zydus’s strong financial trajectory—the Indian firm posted ₹16,713.6 crore in revenue for the first nine months of FY25, up 19% year-on-year, alongside a 25% jump in net profit to ₹3,354.6 crore.
India’s orthopaedic implants market, valued at $791.4 million in 2023, is projected to grow 7.3 per cent CAGR to $1.26 billion by 2030. However, the opportunity for Zydus lies in the fact that despite a growing market, over 70 per cent of implants are imported. Zydus has a robust manufacturing infrastructure and distribution network with over 6,500 medical representatives to launch Amplitude’s hip and knee solutions. This is set to reduce reliance on multinational companies such as Zimmer Biomet and Stryker.
India’s ageing population, projected to reach 194 million by 2031, and rising cases of osteoarthritis are considered a massive opportunity for Zydus, as Amplitude’s minimally invasive implants are designed for faster recovery, and being low-priced as the implants will now get manufactured locally cater to cost-conscious Indian patients seeking high-quality alternatives. Due to localised production, Zydus’s ability to price these devices competitively could disrupt the market dominated by imports priced 30 per cent–40 per cent higher.
Another advantage Zydus MedTech has is its existing portfolio in cardiac stents and dialyser membranes, which provides cross-selling potential. Bundling orthopaedic implants with post-operative pharmaceuticals, such as Zydus’s anti-infective drug Amicin or pain management therapies, creates integrated care packages for hospitals. This approach mirrors Zydus’s success in partnering with Sun Pharma and Lupin to co-market NCE drugs like Lipaglyn.
