Global medical technology firm Hill-Rom has acquired medical diagnostic devices manufacturer Welch Allyn in a cash and stock deal valued at $2.5bn.
Under the agreement announced in June, Welch Allyn shareholders received $1.625bn in cash and nearly 8.1 million newly issued shares of Hill-Rom common stock.
Hill-Rom president John Greisch said: "We are excited to officially welcome our 2,500 Welch Allyn colleagues to the Hill-Rom family.
"Our companies share similar legacies of innovation, quality and employees who are passionate about enhancing outcomes for patients and caregivers."
The combined business is expected to provide a broad spectrum of novel solutions to a patient-centric, global customer base focused on quality and efficiency.
In particular, the entity will expand Hill-Rom's product portfolio with point of care diagnostics and testing, helping the company to offer better patient care solutions for hospitals, physician offices and other care settings, reducing healthcare costs for its customers.
Headquartered in Skaneateles Falls, New York, Welch Allyn produces medical diagnostic equipment and a diversified portfolio of devices, which assess, diagnose, treat and manage a wide variety of illnesses and diseases.
The firm also manufactures physical examination instruments, accessories and EMR connected vital signs, as well as cardiac monitoring solutions. The company employs 2,600 people in 26 different countries.
According to Hill-Rom, the acquisition is not expected to be materially accretive to its earnings this year, but will add more than 10% to adjusted earnings per share for 2016, beginning 1 October.
Employing approximately 10,000 people worldwide, Hill-Rom offers patient care solutions in areas, comprising advancing mobility, wound care and prevention, clinical workflow, surgical safety, efficiency and respiratory health.