Stryker is betting big on robot-assisted surgery for joint reconstruction. Styker agreed to acquire Mako Surgical Corp. for roughly $1.65 billion, a deal that would let Styker use its own reconstructive implants with Mako's robotic surgical system.

Mako, founded in 2004, makes a surgeon-interactive robotic arm used in knee and hip replacement procedures called Makoplasty and Restoris implants.

"The acquisition of Mako combined with Stryker's strong history in joint reconstruction, capital equipment and surgical instruments will help further advance the growth of robotic assisted surgery," Stryker CEO Kevin Lobo said in a statement.

Dan O'Connor