Physio-Control won an extension of its $49.4 million military contract with the U.S. Dept. of Defense for its automated external defibrillators and related accessories.
The Redmond, Wash.-based company was one of 61 bidders for the contract, which supplies the the Army, Navy, Air Force, Marine Corps, Veterans Admin., and federal civilian agencies. The contract ends Dec. 7, 2016, according to the Defense Dept.
It’s been a big season for Physio-Control. Medtronic (NYSE:MDT) entered into a definitive agreement with Bain Capital in November to sell Physio-Control for $487 million.
Medtronic said it’s agreed to a cash offer worth roughly $487 million for Physio-Control, which it’s been trying to unload for years.
Plagued by recalls in 2009 and 2010, the division was a tough sell until February 2010, when the FDA lifted a consent decree barring worldwide shipments of automated external defibrillators.
Medtronic said it expects to use a portion of Bain deal’s proceeds to offset its impact on its fiscal 2012 earnings.
Current president Brian Webster will stay on to lead the business as CEO after the deal closes, expected during the first quarter of 2012.