In its third deal this month, Kalamazoo-based Stryker Corp. signed a definitive agreement to acquire Physio-Control International Inc. for $1.28 billion in cash.
A portfolio company of Bain Capital Private Equity, Physio-Control International develops, produces and markets monitors and defibrillators, automated external defibrillators, and CPR-assist devices, plus data management and support services.
Stryker (NYSE: SYK) said the company’s product portfolio complements its Stryker Medical EMS product lineup and creates a greater balance between capital and disposable products. Physio-Control, with 2015 fiscal year sales of $503 million, also expands Stryker's global footprint.
“Physio-Control has achieved global leadership positions with a strong brand and customer-centered solutions that can predict or intervene in life-threatening emergencies,” Stryker Chairman and CEO stated Kevin Lobo said. “Physio-Control’s focused strategy and their culture will fit well within the EMS business of our Medical division, further leveraging our existing call pattern.”
The deal is expected to close at the start of the second quarter and is pending federal antitrust review. Stryker raised its 2016 earnings guidance to by 2 cents per share to $5.57 to $5.77 per share.
Stryker earlier this month said it was buying Sage Products LLC, a maker of disposable products for hospital intensive care, medical and surgical units, for $2.77 billion in cash from private equity firm Madison Dearborn Partners. The Cary, Ill.-based Sage had sales of $430 million in 2015, a 13-percent increase from the prior year.
Last week, Stryker announced a definitive agreement to acquire the assets of the neuro portfolio from O’Fallon, Mo.-based Synergetics USA Inc. Terms of the all-cash deal were not disclosed.