Amsterdam-based Philips is slated to commence a tender offer to acquire all issued and outstanding shares of BioTelemetry for $72 per share, to be paid upon completion. That represents a 16.5% premium to BioTelemetry’s closing price on Dec. 17, 2020, bringing the value of the acquisition to $2.8 billion, inclusive of BioTelemetry’s cash and debt, according to a news release.
BioTelemetry’s board of directors has approved the transaction and recommends the offer to its shareholders, leading to expectations that the merger will be completed in the first quarter of 2021.
Philips expects to supplement its in-hospital patient monitoring business with BioTelemetry’s cardiac diagnostics and monitoring technologies for outside the hospital, leading the newly merged companies to become a leader for patient care management solutions for the hospital and the home for cardiac and other patients.
“The acquisition of BioTelemetry fits perfectly with our strategy to be a leading provider of patient care management solutions for the hospital and the home,” Philips CEO Frans van Houten said in the release. “BioTelemetry’s leadership in the large and fast-growing ambulatory cardiac diagnostics and monitoring market complements our leading position in the hospital. Leveraging our collective expertise, we will be in an optimal position to improve patient care across care settings for multiple diseases and medical conditions.”
BioTelemetry develops diagnostics and monitors for heart rhythm disorders, including wearable heart monitors that detect and transmit abnormal heart rhythms wirelessly, along with AI-based data analytics and services.