Poly Medicure Limited has announced the acquisition of Citieffe Group for INR 324 Crores (EUR 31 Million). Citieffe, an Italy-based manufacturer specializing in orthopaedic trauma and extremities, has direct presence in Italy, USA, and Mexico, and distribution across 25+ countries. The acquisition aims to provide Poly Medicure with an entry point into the large global orthopaedics market. The deal is expected to close within 4-8 weeks.
Acquisition Announcement
Poly Medicure Limited (Polymed) has announced the acquisition of 100% stake in Medistream SA (“Group”), consisting of Citieffe SRL and its step-down subsidiaries in USA & Mexico. The announcement was made on September 24, 2025. The acquisition value is INR 324 Crores (EUR 31 Million).
Citieffe Group Overview
Citieffe is an Italy-based manufacturer specializing in the orthopaedic trauma and extremities segment. It has a direct presence in Italy, USA, and Mexico, and distribution across 25+ countries. Citieffe generated revenues of EUR 17.3 million and EBITDA of EUR 3.1 million in CY 2024, reflecting year-on-year growth of 15% and 14% respectively. Citieffe holds 45 patents and full EU MDR clearance and accreditation in key markets like USA (FDA).
Strategic Rationale
The acquisition provides Polymed with an entry point into the large global orthopaedics market, particularly in the trauma and extremities segment. This segment is the fastest-growing and most resilient category within orthopaedics. Citieffe is the #2 independent player in Italy with a c.12% + market share and has a growing presence in US.
Synergies and Future Plans
Polymed plans to boost financial performance by leveraging its manufacturing expertise and global distribution network. There are plans to introduce Plates in near term and enter the joints replacement market in medium term. The company also intends to expand in the US and outsource parts of the manufacturing process to India to reduce costs.
Transaction Details
The equity valuation of the deal is ~Euro 18.8mn, with shareholder loan liabilities of Euro 4.2mn to be repaid. The total upfront payout is ~Euro 23mn, taking over net external debt of Euro 8.1mn. The transaction values Citieffe at EV/EBITDAx of 10.2x (FY 24 basis). The acquisition is subject to customary closing conditions and approvals and is expected to close in the next 4-8 weeks.
Source: BSE
