Stock of Dentsply Sirona, Charlotte, N.C., at last check rose 2.2% to $53.50. The stock is up by two-thirds from its 52-week low, $31.58, set in mid-March. A year ago the stock approached $61.
The deal, which closed Dec. 31, will add to Dentsply Sirona's Sure Smile clear-aligner business and help the company capitalize on consumer demand for the product.
Clear aligners have been developed especially for treating adults and enable smooth alignment of teeth, without clasps, screws or brackets.
"We have been pleased with the growth of our SureSmile clear aligner business," Chief Executive Don Casey in a statement. Byte "adds scale for us in the important clear-aligner market."
Dentsply Sirona funded the purchase with cash on hand.
The deal should add at least a nickel a share to Dentsply Sirona’s adjusted 2021 earnings, the company said.
Byte’s 2021 run-rate sales are estimated at a minimum $200 million, Dentsply Sirona said. Combined with SureSmile, Dentsply Sirona expects a clear-aligner-revenue run-rate exceeding $300 million by the end of 2021.
Byte was founded in 2017 and launched its products at the beginning of 2019.
The company delivers the aligners to consumers under the direction of a network of dentists and orthodontists. Byte said its system costs under $85 a month.
"The transaction enhances our ability to offer affordable care to patients and increases awareness of the overall benefits of oral care," Neeraj Gunsagar, chief executive of Byte, Los Angeles, said in a statement.
Centerview Partners was financial adviser to Dentsply Sirona and Skadden, Arps, Slate, Meagher & Flom served as legal counsel.
Goldman Sachs and American Discovery Capital were financial advisers to Byte, with Bodman as legal counsel.