NuVasive rallies while Globus Medical moves down after companies announce all-stock merger deal

Globus Medical
GMED,
-1.18%
said Thursday it will pay 0.75 a share of its stock for each share of NuVasive
NUVA,
-2.41%
stock in a deal that values NuVasive at about $3.1 billion or $57.72 a share. Globus Medical stock is down 12% in premarket trades, while NuVasive stock is rallying 11.9%. The companies said the deal will combine “two well-regarded technology companies in the musculoskeletal industry, which have a shared vision focused on innovation.” The merger, which is expected to close in the middle of 2023, has been unanimously approved by the boards of directors of both companies. The deal values are based on Globus Medical’s closing share price of $76.96 on Wednesday. After the deal closes, Globus Medical shareholders will own about 72% of the combined company and NuVasive shareholders will own about 28%.