By Tess Stynes
Medtronic PLC agreed to acquire RF Surgical Systems Inc. for
roughly $235 million, the latest in a string of smaller deals since
the medical-device maker's acquisition of Covidien.
Carlsbad, Calif.-based RF Surgical makes products that focus on
counting items used during surgery--such as surgical sponges, gauze
or towels--to help prevent them from being left in the patient
during surgery, which can lead to serious complications.
RF Surgical's system uses a low radio frequency signal to track
and detect surgical gauze, sponges and towels, which are embedded
with an RF tag, through blood, dense tissue and bone.
The deal, expected to close next month, is expected to meet
Medtronic's long-term financial metrics for acquisitions, though
the deal's effect on yearly earnings isn't expected to be
material.
Medtronic last month agreed to acquire privately held
medical-device company Aptus Endosystems Inc. for roughly $110
million and cardiac-mapping company CardioInsight Technologies Inc.
in a deal valued at $93 million.
Also in June, Medtronic reported a net loss of $1 million in its
first combined quarter with Covidien, largely because of $880
million in charges for the Covidien acquisition and a $329 million
expense from the resolution of a tax dispute with the Internal
Revenue Service.
Write to Tess Stynes at tess.stynes@wsj.com
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