Global medical device company Align Technology has announced it has acquired German-based dental software firm, Exocad for $420 million in cash. The deal is expected to close during the second quarter of 2020.
Exocad is a global pioneer in the dental CAD/CAM software space, specializing in fully integrated workflows, dental laboratories, and practices. The company has an expansive network of customers, partners, and resellers across 150 countries. In the acquisition, Align will bolster its portfolio by adding Exocad's expertise in restorative dentistry, implantology, guided surgery, and design to its dossier. This already includes Invisalign and iTero digital solutions.
"Dentistry today is evolving digitally, with technology advances and consumer awareness driving new opportunities in ortho-restorative and comprehensive treatment. Align is in a unique position to lead the digital transformation of dentistry by reimagining comprehensive treatment planning and by reinventing the way orthodontists and GPs practice with our digital platform for transforming smiles," said Joe Hogan, Align Technology president and CEO in a news release. "Exocad allows us to broaden and deepen Align's digital platform by addressing restorative needs in our end-to-end digital platform that facilitates ortho-restorative and comprehensive dentistry and accelerates the adoption of Invisalign treatment among the more than 300 million potential patients worldwide."
This isn't the first time the companies have worked together. In 2017, Align's iTero intraoral scanners and Exocad Chairside CAD software teamed up.
Exocad will continue to run as it is now, supporting a broad ecosystem of partners and end-users while continuing to deliver hardware-independent software solutions. Co-founders Tillmann Steinbrecher and Maik Gerth, as well as the rest of their team, will remain after the transaction closes and report to Align Technology CFO, John Morici.
Founded in 2010, Exocad is a spinoff of the world-renowned Fraunhofer Organization. For almost ten years, Fraunhofer's Institute for Computer Graphics has provided state of the art innovations in the area of CAD and visualization. Align Technology was founded in 1997 and has garnered a reputation as one of the leading manufacturers of 3D digital scanners and clear aligners used in orthodontics.
Goldman Sachs is serving as exclusive financial advisor to Align. UBS Investment Bank is serving as exclusive financial advisor to Exocad and funds managed or advised by CETP.