Listen to this articleLaborie Medical Technologies Corp. has agreed to acquire Jersey City-based Organon‘s JADA System for up to $465 million.
The deal includes $440 million to be paid at closing and a potential payment of up to $25 million subject to the achievement of certain 2026 revenue targets, according to a Nov. 7 announcement.
Additionally, about 100 employees are expected to transfer to Laborie as part of the agreement. A company representative did not immediately respond to a question about whether those employees would relocate.
Laborie is headquartered in Portsmouth, N.H., according to the company’s website.
JADA is a medical device that uses a low-level intrauterine vacuum to control and treat abnormal postpartum uterine bleeding or hemorrhage, according to the announcement.
A spinoff of Merck, Organon brought on JADA with its $240 million acquisition of Alydia Health in 2021.
The company said it will apply net proceeds from the sale to debt reduction.
The Organon board of directors has approved the deal. The transaction is expected to close in the first quarter of 2026, subject to required regulatory approvals.
Help for 136K new mothers
“I am incredibly proud of the work the JADA team and Organon have done to help more than 136,000 new mothers in over 20 countries, positioning JADA as a recognized standard of care in postpartum hemorrhage (PPH) management,” Organon interim CEO Joseph Morrissey said in a statement.
Morrissey said the acquisition will allow the new owner to further expand access to the device. He added that it is another step toward “improving capacity in Organon’s balance sheet to be able to pursue other growth opportunities in women’s health biopharma in the future.”
I am incredibly proud of the work the JADA team and Organon have done to help more than 136,000 new mothers in over 20 countries…
– Joseph Morrissey, Organon interim CEO
Morrissey recently took the helm of Organon after Kevin Ali stepped down. The leadership change-up followed an internal investigation into sales practices related to its Nexplanon product.
Laborie President and CEO Chris Smith said the company was “inspired by” the team behind JADA and was excited to welcome them to Laborie.
Smith added about the device, “Childbirth is one of the most personal and profound moments in a woman’s life, and every mother deserves to feel supported throughout it. The JADA System helps care teams provide treatment when it matters most and being part of that mission is something we hold with deep pride and purpose at Laborie.”
Goldman Sachs & Co. LLC is acting as financial advisor to Organon.
