Stryker to buy Physio Control for $1.3bn

Medical device maker Stryker says it will buy Physio-Control International for $1.28 billion in cash to expand its emergency medical services business.

Thge company, which employes almost 1,000 people in Ireland, also raised its full-year earnings forecast for the second time this month.

Stryker earlier this month inked a deal with medical supplies maker Sage Products for $2.78 billion and said it had the capacity and the capital for more deals.

Physio-Control, a unit of Bain Capital Private Equity, makes devices such as defibrillators for emergency treatment of cardiac arrests.

Stryker said. Physio-Control was a unit of heart device maker Medtronic since 1998, but was spun-off in 2006. Five years later, Bain Capital acquired Physio-Control, which had fiscal 2015 sales of $503 million.

Stryker raised its full-year adjusted earnings forecast to $5.57-$5.77 per share from the $5.55-$5.75 range it estimated when it bought Sage Products.

The Physio-Control deal would also boost Stryker’s emergency medical systems business in European countries including North Ireland. – Reuters