ICU Medical Announces Acquisition of Smiths Medical Division from Smiths Group plc for USD 2.35 Billion | Financial Buzz

ICU Medical Announces Acquisition of Smiths Medical Division from Smiths Group plc for USD 2.35 Billion

ICU Medical, Inc. (NASDAQ: ICUI) and Smiths Group plc reported that ICU Medical has committed to acquire the Smiths Medical division in a transaction superior to the existing proposed sale of Smiths Medical to Trulli Bidco Limited.  Smiths at closing will receive 2.5 million newly issued shares of ICU Medical common stock, currently valued at USD 500 Million and USD 1.85 Billion in cash along with ICU Medical with certain liabilities.  “Delivering on our commitment to maximize value, the ICU transaction provides both a higher value for Smiths’ shareholders, as well as further value creation through our 10% holding of the enlarged combined group and a potential $100m additional contingent consideration,” Paul Keel, Chief Executive Officer of Smiths, commented. “We are focused on concluding this superior transaction and on driving Smiths Group forward, delivering on our significant potential as a leading industrial technology group united by shared purpose, business characteristics and a common operating model.”

“The combination of these two businesses makes sense for the medical device marketplace and fits well with ICU Medical’s existing business. By joining two complementary product portfolios to create a leading IV therapy company, we can help simplify customer workflows and add significant value and choice,” explained ICU Medical Chief Executive Officer Vivek Jain. “Together, we will be a scaled global competitor and a US-based medical device company that increases the stability of the medical supply chain and can grow as clinical care models evolve. From an economic perspective, we believe we have presented a well-structured offer that considers the existing offer, minimizes risk, and offers upside to all stakeholders. We look forward to serving more customers as we continue to bring clinical and economic value to the marketplace.”

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