The Murray Hill, N.J.-based medical device company said its Lowell, Mass.-based EP unit rang up about $111 million in sales of its catheters and accessories last year.
"This divestiture is consistent with our strategic plan, which is designed to position our portfolio for accelerated sales growth over time. By exiting the EP business, we believe we can better direct management’s attention and our capital resources toward pursuing opportunities where we believe we can achieve sustainable long-term leadership positions and provide attractive growth and returns to shareholders," Bard chairman & CEO Timothy Ring said in prepared remarks.
Bard said it expects the sale to dilute its adjusted earnings per share this year by roughly 5¢ and immaterial to adjusted EPS in 2014.
For its part, Boston Scientific said the addition of the 180-employee Bard EP business should be neutral this year and add 1¢ to its adjusted EPS in 2014.
"We expect this acquisition to accelerate the expansion of our global electrophysiology business and we are pleased to welcome Bard EP to the Boston Scientific team," Boston president & CEO Mike Mahoney said in prepared remarks. "We believe the innovation and global reach that Bard EP delivers will meaningfully advance our position in this fast-growing market, enabling us to more effectively serve the needs of patients who suffer from cardiac arrhythmias."
The deal, expected to close alter this year, will see the Bard EP unit folded into Boston Scientific’s own EP unit, part of its rhythm management division.