By John Kell
Cardinal Health Inc. (CAH) agreed to pay $320 million to acquire
medical-device company AccessClosure Inc., a deal that is expected
to add to the drug wholesaler's future earnings.
The all-cash transaction for the privately held company is
expected to close by early June. Cardinal Health expects the deal
will have a "minimal impact" on adjusted earnings in fiscal 2014
but slightly add to fiscal 2015 profit.
AccessClosure, which manufacturers and distributes extravascular
closure devices in the U.S., generates annual sales of more than
$80 million. The company was founded in 2002 and its first product,
the Mynx device, won initial Food and Drug Administration approval
in 2007.
The company's product slate seals the femoral artery using a
secure sealant, which dissolves within 30 days and leaves nothing
behind but a healed artery, according to AccessClosure.
Last year, Cardinal Health entered the orthopedic space, and the
company has said it actively has been looking to expand across
orthopedics, as well as cardiovascular and wound management.
"This acquisition will broaden our offering in another physician
preference category," said Don Casey, chief executive of Cardinal
Health's medical segment. "We look forward to further
expansion."
Cardinal Health shares, inactive in after-hours trading, closed
up 0.8% at $70.28 on Wednesday. The stock has risen 5.2% in
2014.
Write to John Kell at john.kell@wsj.com
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