Halyard Health (NYSE:HYH) said today it inked a $65 million deal to acquire cold and compression therapy company CoolSystems, which markets under the name Game Ready.
CoolSystems produces devices designed for pain management and rehabilitation of patients recovering from orthopedic surgery or sports-related injuries, including its GRPro 2.1 cold and compression therapy system, Med4 Elite multi-modality therapy unit and ATX wraps.
Alpharetta, Ga.-based Halyard said the products acquired with the company will complement its existing pain management portfolio.
“The acquisition of Game Ready represents another step forward in Halyard’s transformation as a pure-play medical device company and is consistent with our strategy to continually generate value for our patients, customers, and shareholders. The combination of Game Ready’s market leading cold therapy products with our ON-Q* pain relief system portfolio will significantly enhance our postoperative non-opioid product offerings and broaden our orthopedic footprint. Combined, we will be better positioned to play a critical role in providing innovative non-opioid therapies that reduce or eliminate the use of opioids for surgical patients and get them back to the things that matter,” CEO Joe Woody said in a press release.
CoolSystems reported revenues of approximately $35 million last year, Halyard reports. The acquisition, which will be funded from current cash, is expected to close early in the third quarter.
Halyard said it expects the acquisition to be immaterial to its fiscal year 2018 adjusted dilutive net earnings per share, and slightly accretive to earnings in 2019. The company reaffirmed its 2018 adjusted dilutive net earnings per share guidance of between $1.65 to $1.85.
Last week, Halyard Health announced plans to rebrand – and re-list its stock – under the name Avanos Medical.
