Pacira BioSciences has agreed to sell its Iovera nerve therapy device to orthopedic giant Zimmer Biomet in a transaction valued at up to $140 million. Under the terms of the agreement, Zimmer Biomet will provide an upfront payment of $70 million, with the remaining $70 million structured as potential revenue-based milestone payments through the end of 2031. The deal, which grants Zimmer Biomet all global rights for the development, manufacturing, and commercialization of the technology, is expected to close in the third quarter of 2026.
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The Iovera system is an FDA-cleared, handheld device that delivers drug-free pain relief through cryoneurolysis, a process that uses extreme cold to temporarily block a targeted nerve’s ability to transmit pain signals. The technology is specifically indicated for managing pain and symptoms related to knee osteoarthritis for up to 90 days. Clinical data shows that patients treated with the device after total knee replacement surgeries experienced over 1.5 times greater improvement in joint function, alongside a 45% reduction in opioid consumption over a 12-week postoperative period.
This acquisition directly supports Pacira’s strategic pivot toward becoming a pure-play biopharmaceutical company. Meanwhile, Zimmer Biomet plans to leverage its massive global commercial infrastructure to expand patient access to the non-opioid therapy, integrating it alongside its market-leading joint reconstruction portfolio. Additionally, both companies plan to collaborate on a future clinical program targeting spasticity, which could trigger further compensation for Pacira upon regulatory approval.
