Synovis to be acquired for $325M
Baxter International Inc. said it is buying Synovis Life Technologies Inc., a medical device company in St. Paul, for $325 million. The deal is expected to close early next year.
Baxter is a global maker of blood products and intravenous drugs based in Deerfield, Ill. Synovis makes surgical devices, including implantable biomaterial for soft tissue repair, its signature business.
Synovis shareholders will get $28 a share in the deal, Baxter said, a high 52 percent premium over Monday's closing price of $18.44. After adjusting for the net cash Synovis has, the deal is valued at about $260 million, the company said.
Synovis stock soared 51 percent to $27.82 a share on Tuesday morning, following the news of the acquisition.
"The medical device business that Synovis has built, and its technical capabilities to develop and manufacture surgical products, is highly complementary to Baxter's existing offering of BioSurgery products," Ludwig Hantson, president of Baxter's BioScience business said in a statement. "The combined business will offer surgeons in the United States and around the world a more complete line of innovative tools used...
