The Chinese medical device company said it plans to maintain Mountain View, Calif.-based Zonare’s brand and operations under president & CEO Timothy Marcotte, according to a press release.
"Mindray’s management expects the deal to strengthen its high-end ultrasound R&D and U.S. sales capabilities, furthering the company’s goal of becoming a leading provider of high-quality imaging products to markets worldwide," according to the release. "Mindray expects the deal to be slightly dilutive to its full-year 2013 and 2014 earnings."
Zonare posted sales of about $64 million last year, according to Mindray.
"We are very excited about this transaction. We evaluated many different acquisition targets and determined that Zonare’s proven business model, along with its technology and sales channel assets, fits very well with our selection criteria," Mindray co-CEO Minghe Cheng said in prepared remarks. "This transaction will create significant synergies by combining Zonare’s strong innovative R&D capability and direct sales and service network in the high-end ultrasound market with Mindray’s efficient engineering and production platforms. We expect customers to benefit from the combined company’s expanded portfolio and improved ability to develop more innovative and customized products."
"The deal will create a global ultrasound company that is better positioned to serve the healthcare market on a worldwide basis," Marcotte added. "We expect our customers to continue to benefit from the high level of innovation, quality and services provided by the Zonare brand. Moreover, as a member of the growing Mindray organization, we look forward to developing even more exciting products and technologies in the future by leveraging our combined strengths."
The deal is expected to during the 3rd quarter, Mindray said.