Elliott Investment Management has built a significant stake in Align Technology, positioning itself as one of the company’s largest shareholders as it seeks to drive value creation, Bloomberg reports.

The activist investor is expected to engage with the company’s management to explore strategies aimed at improving its share price.

Align Technology, which produces Invisalign clear aligners, is currently valued at about $12.3bn, following a sharp decline in its share price since pandemic-era highs in 2021.

The company benefited from a surge in demand for cosmetic dental treatments during the pandemic, but usage has since moderated, weighing on its valuation.

Despite recent pressures, analysts point to signs of stabilisation in dental markets, with potential for a recovery in earnings multiples over time.

Elliott has a track record of investing in healthcare companies and driving operational and strategic changes, including prior engagements with firms such as Charles River Laboratories and Medtronic.

The move comes as private equity firms continue to deploy capital across the medical device and dental sectors, with recent deals led by Patient Square Capital and GTCR.

Elliott’s investment highlights continued investor interest in healthcare assets, particularly where operational improvements and market recovery could unlock value.

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