M&A · Healthcare · Orthopedic, Prosthetic & Surgical Appliances & Supplies
Patient Square Capital, LP to acquire Eargo, Inc.
Announced Oct 30, 2023 · Closed Feb 16, 2024
Deal value$53M
Premium52.0%To unaffected price
EV / Adj. EBITDA—
ConsiderationAll cash$2.55 per share
Transaction
- Acquirer
- Patient Square Capital, LP
- Target
- Eargo, Inc.
- Buyer type
- Private equity
- Offer price per share
- $2.55
- Enterprise value
- —
- Status
- Closed Feb 16, 2024
Deal protections
- Break fee (target pays)
- $1.1M · 2.0%
- Reverse fee (buyer pays)
- —
- Go-shop
- No-shop
- Financing
- No financing condition
Advisors
- To the acquirer
- Not disclosed
- To the target
- Perella Weinberg
- Perella Weinberg fee
- $2.0M
Sector context · Healthcare
- Comparable deals
- 95 in the prior 24 months
- Premium
- 52.0% vs. 53.0% sector median
- EV / Adj. EBITDA
- Sector median 17.1x
- Break fee
- 2.0% vs. 3.5% sector median
Timeline
- AnnouncedOct 30, 2023
- Proxy filedNov 21, 2023
- Definitive proxyJan 16, 2024
- Shareholder voteFeb 13, 2024
- ClosedFeb 16, 2024
Valuation · fairness opinions
Trading comparables$3.77$5.69
Trading comparables$2.21$3.73
Trading comparables$1.95$2.66
Offer $2.55
Implied value per Eargo, Inc. share by analysis, from Perella Weinberg · DCF discount rate 13%–15%.