Intuitive Surgical, Inc. (NASDAQ:ISRG) has reportedly struck a deal to acquire a building in Durham and it reportedly parted with roughly $6 million as part of the acquisition.
The surgical robot manufacturer purchased the building located in Durham’s Triangle Business Center from Scannell Properties. The new acquisition will place the firm in close proximity to rival surgical robot manufacturer Transenterix Inc (NYSEAMERICAN:TRXC) which has its offices close by. Intuitive also has offices at the Centennial Campus of the N.C. State University.
The move comes at a time when rival Transenterix has been planning to make a heavy entry into the U.S market. The company has also turned down any requests for comments. Meanwhile, Bill Linville, the managing director of Scannell Properties revealed that his company has a capital investment of roughly $70 million in the Triangle Business Center. He also stated that Scannell Properties has been in the Triangle market for seven years. Other recent sales that it made include the sale of an almost 100,000-square-foot building to LifeStar Pharma for $7.8 million.
Intuitive will also be given the option of expanding to a 45,000-square-foot building right next to its newly acquired building. Scannell is also developing a 200,000-square-foot building at the Triangle Business Center. It is currently not clear whether the surgical robot maker will take the offer or just stick to its new acquisition. However, that decision will most likely be determined by the economic feasibility of the offer.
“Intuitive will have the option to expand into a planned 45,000-square-foot building adjacent to its new space,” stated Linville.
Meanwhile, Intuitive’s financial performance has been impressive. The company reported its 2016 net income numbers at $735.9 million which was a significant improvement from its net income from the previous year which was $588.8 million.
Intuitive Surgical’s stock closed the latest trading session on Monday at $353.55 after tanking by 2.41 percent compared to the value of the stock during the previous close.
