Medical technologies provider Teleflex has entered into a definitive agreement to acquire medical device company Vascular Solutions for $1bn.
Under the agreement, Teleflex will acquire all the issued and outstanding shares of Vascular Solutions common stock priced at $56.00 per share, in a cash-based transaction.
Subject to approval of Vascular Solutions’ shareholders and fulfillment of customary closing conditions, the potential transaction is expected to close during the first half of next year.
Vascular Solutions primarily develops clinical solutions for minimally invasive coronary and peripheral vascular procedures and its product portfolio features more than 90 proprietary products and services for complex interventions, radial artery catheterizations and embolisation procedures.
Teleflex chairman and CEO Benson Smith said: “Vascular Solutions is a truly unique company with differentiated technologies serving the coronary and peripheral vascular markets.
“They have established a strong franchise focused on interventional cardiology and interventional radiology which complements Teleflex’s existing businesses.
“Importantly, while we believe Vascular Solutions has compelling growth opportunities as they continue to build their business with their existing product portfolio, we look forward to potential longer-term tailwinds as we benefit from their robust R&D pipeline and our international distribution network moving forward.”
The transaction is expected to boost growth of Teleflex’s vascular and interventional businesses through increased revenue resulted with entry into the coronary and peripheral vascular market, as well as increasing customer bases for the increased cross-portfolio.
Teleflex has secured a new $750m senior unsecured bridge facility from JPMorgan Chase Bank to support the transaction.