Novanta to Buy Riverpoint Medical in $1.2 Billion All-Cash Deal
The acquisition doubles Novanta's recurring medical consumables revenue and pushes the company deeper into the high-growth minimally invasive surgery market.
Novanta Inc. (NOVT) agreed to acquire Riverpoint Medical for $1.2 billion in upfront cash, with an additional milestone payment of $250 million due in the first quarter of 2027, the company said. The all-cash transaction is expected to close in the third quarter of 2026, subject to customary regulatory approvals and closing conditions.
The deal represents a significant expansion of Novanta's medical portfolio, targeting a company that specializes in minimally invasive surgical consumables. By absorbing Riverpoint, Novanta said it would double its recurring medical consumables revenue and shift its overall business mix toward more durable, less cyclical revenue streams.
"Riverpoint Medical is an exceptional business, a market leader in high-growth minimally invasive surgical consumables that is perfectly aligned with our strategic direction and our business model," said Matthijs Glastra, Chair and Chief Executive Officer of Novanta. The company framed the acquisition as one that deepens its medical OEM partnerships and compounds long-term revenue and cash-flow growth.
Riverpoint Medical operates in a segment where Novanta has already signaled momentum. In its third-quarter 2024 results, Novanta noted that its minimally invasive surgery products achieved a book-to-bill ratio of 1.4, indicating demand outpacing supply as new product launches gained traction. The Riverpoint acquisition accelerates that trajectory by adding a dedicated consumables platform to Novanta's existing Medical Solutions segment, which generated $122.5 million in revenue in the third quarter of 2025.
The broader medical-device sector has seen a steady cadence of bolt-on acquisitions aimed at building recurring-revenue bases. Merit Medical Systems acquired View Point Medical for $140 million in April 2026, adding tissue-marker and detection-imaging products to its portfolio. Novanta itself has been an active acquirer; the company's 2024 purchase of Keonn has performed ahead of plan, and a recent fundraise positioned the balance sheet for further deal-making.
The transaction is subject to regulatory approvals and other customary closing conditions. Novanta did not disclose expected accretion or integration synergies in the initial announcement. The $250 million milestone payment, contingent on performance benchmarks set for early 2027, ties a portion of the total consideration to Riverpoint's continued execution under its new parent.