Pennsylvania technology giant Teleflex (NYSE:TFX) put the finishing touches on a $263 million acquisition of Vidacare Corp., a company that makes inside-the-bone access devices.
Teleflex consummated the union yesterday, saying that the acquisition will begin making an financial impact in 2014.
The merger, announced just 2 months ago, is not expected to make a big impact on Teleflex’s 2013 adjusted per-share expectations, although it will contribute an estimated $68-$72 million to revenue and 10¢-15¢ in adjusted EPS next year.
"The Vidacare acquisition fits Teleflex’s strategy to invest in innovative products and technologies that can meaningfully enhance clinical efficacy, patient safety, reduce complications, and lower the overall cost of care," according to a letter penned by Teleflex sales vice president Stewart Strong. "Vidacare’s expertise in significantly lowering pain and providing exceptional quality core samples for bone marrow biopsies and aspirations, and hard bone biopsies using our OnControl system, combined with Teleflex’s leadership in the interventional access space now enables us to offer a full portfolio of solutions for treating a broad scope of patients."
Vidacare products use a power driver and needle system to access the intraosseous space for a variety of medical, diagnostic and therapeutic purposes. The company’s products include the EZ-IO Intraosseous Vascular Access System, the OnControl Bone Marrow System and the OnControl Bone Access System. Teleflex announced the buyout alongside its 3rd-quarter earnings, which were boosted by another acquisition.
Teleflex reported net income of $46.8 million, or $1.13 per share, on sales of $413.8 million during its 3rd quarter 2013. That’s a profit surge of 113% on sales growth of 12.4% compared with the same period last year.
Officials credited the strong sales figures to its critical care division, saying results were boosted from products acquired from Teleflex’s $276 million LMA International buyout.
TFX shares were pretty flat today, down just 0.6% to $96.88 as of about 1:35 p.m.
