Above is an overview of recent industry M&A activity. For additional information, see the charts below or follow the link to the left to download complete transaction tables broken out by industry subsectors.
See below for additional information about industry trading comps and transaction relevant articles from the past week.
Johnson & Johnson To Sell Advanced Sterilization Products To FOrtive For $2.8 Billion
Johnson & Johnson received a binding offer to sell its Advanced Sterilization Products (ASP) business to Fortive Corporation
The deal is valued at $2.8 billion, made up of $2.7 billion in cash from Fortive and $0.1 billion of retained net receivables.
This appears to be another action on J&J's part to streamline its portfolio after a review of its over-the-counter drugs, diabetes care and some of its medical device products. It has reported that it was close to selling off its diabetes device unit for $2.1 billion. There has been a focus on building its drug pipeline lately. Last year it bought Actelion for $30 billion to strengthen its presence in the rare diseases market. In 2017, ASP brought in about $775 million. Dennis Ding, an analyst with Raymond James, said, "J&J over the last couple of months has focused on managing its portfolio a little bit better to offset some of the slower growing assets," Reuters reported. "I would think by offloading this business it should improve overall organic growth." Fortive is based in Everett, Washington, and it manufactures and markets medical instruments and other technologies, including GPS tracking products. In 2016, Fortive spun off from medical and industrial parts manufacturer Danaher Corp.
Philips To Buy Heart Rhythm Disorder Specialist EOD Solutions For $292.1 Million
The takeover will give Philips a significant position in the rapidly growing market for cardiac arrhythmia ablation procedures within several years
Dutch healthcare technology company Philips said on Tuesday it will buy EPD Solutions, a maker of cardiac imaging and navigation systems used to treat patients with heart rhythm disorders. Philips will pay 250 million euros in cash ($292.1 million) upfront, followed by payments estimated to be worth around 210 million euros if milestones are met. "It will take time to penetrate this market, already worth more than 2 billion euros, as most healthcare providers are conservative", he said. "But EPD has a highly competitive, breakthrough technology, which can really address unmet needs." EPD's system provides surgeons with "unique" detailed 3D anatomical information of the heart during ablation procedures, Van Houten said. Since the separation of its lighting division in 2016, Philips has focused on medical devices and healthcare products. The takeover of EPD Solutions further expands the company's image-guided therapy business, after the multi-billion dollar acquisitions of heart disease devices maker Spectranetics last year and vascular imaging company Volcano in 2015.
Below are summaries and charts with the past week's transactions from the different healthcare sectors. For a detailed table showing data for each industry transaction click on any of the charts or use the download link above. Total transaction values are provided in USD millions.