(Bloomberg) -- Medical device maker Globus Medical Inc. has agreed to buy smaller competitor NuVasive Inc. in an all-stock transaction valuing it at more than $3 billion.

NuVasive investors will receive 0.75 of a share of Globus Class A stock for each of their shares, according to a statement on Thursday that confirmed an earlier Bloomberg News report. The combined company will have an 11-member board consisting of eight directors from the current Globus board and three from NuVasive’s. 

“This transaction reflects our mission to become the leading musculoskeletal technology company in the world by developing products that promote healing in patients with musculoskeletal disorders,” said Dan Scavilla, president and chief executive officer of Globus Medical, said in the statement.

The companies had held early talks about a possible combination, Bloomberg News reported in 2021.

NuVasive develops and sells devices for the spine, including instruments for surgical access, spinal implants, software and imaging solutions. The company, with more than $1 billion in net sales, operates in more than 50 countries.

Globus, with a market value of $7.68 billion, develops, manufactures and distributes musculoskeletal devices like implants used by surgeons for procedures including spine or joint surgery.

The deal will give the companies more scale and negotiating power with hospitals, to whom their products are sold.

“Together, we will be able to offer an exceptional portfolio of clinically proven solutions, supported by strong commercial and surgeon education teams,” Chris Barry, CEO of NuVasive, said in the statement.

Goldman Sachs Group Inc. advised Globus Medical on the deal, while Bank of America Corp. worked with NuVasive.

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