Shares in Coloplast rose on Monday after the medical equipment maker said it had agreed a 2.16 billion euros ($2.49 billion) deal to buy Atos Medical, which specialises in laryngectomy, from French private equity firm PAI Partners.
“Atos Medical represents a new long-term growth category for Coloplast,” Coloplast said in a statement.
Shares in Coloplast were trading 3.6% higher at 0831 GMT at the highest level since mid-September.
Coloplast said it will keep the name and brand of Atos Medical, which is headquartered in Malmö, Sweden, and let the unit run as a separate business.
Atos Medical specialises in laryngectomy, surgical removal of the larynx that connects the nose and mouth to the lungs.
Coloplast makes intimate medical devices, such as catheters and ostomy bags, which often need to be implemented through operations.
The deal, expected to be increasingly earnings per share (EPS) accretive from 2022 and 2023, is expected to close in the second quarter of Coloplast’s financial year, it said.
Source: Reuters.com