Philips completes the acquisition of BioTelemetry, Inc.
Philips completes the acquisition of BioTelemetry, Inc.
February 9, 2021
Combination of Philips and BioTelemetry results in a global
leader in patient care management solutions for the hospital and
Amsterdam, the Netherlands – Royal Philips
(NYSE: PHG, AEX: PHIA), a global leader in health technology, today
announced that it has completed the acquisition of BioTelemetry,
Inc. (NASDAQ: BEAT), a leading U.S.-based provider of remote
cardiac diagnostics and monitoring. BioTelemetry’s financial
results will be consolidated as part of Philips’ Connected Care
business segment as of February 9, 2021.
The acquisition of BioTelemetry is a strong fit with Philips’
cardiac care portfolio, and its strategy to transform the delivery
of care along the health continuum with integrated solutions.
Philips’ patient care management solutions for the hospital include
real-time patient monitoring, therapeutic devices, telehealth and
informatics. Moreover, Philips has an advanced and secure
cloud-based Philips HealthSuite digital platform optimized for the
delivery of health care across care settings.
With 2020 sales of USD 450 million, BioTelemetry adds a complete
range of clinically validated ambulatory cardiac diagnostics and
monitoring services: Short-term Holter monitoring services,
Long-term Holter monitoring services, Event recorder services, and
Mobile Cardiac Outpatient Telemetry (MCOT) services. BioTelemetry
has built one of the world’s largest remote cardiac monitoring
services networks, providing services for over one million patients
per year. Additionally, BioTelemetry has a clinical research
business that provides testing services for clinical trials.
“The combination of Philips’ leading patient care management
portfolio in the hospital with BioTelemetry’s leading cardiac
diagnostics and monitoring portfolio outside the hospital will
result in a global leader in patient care management solutions for
the hospital and the home for cardiac and other patients,” said
Frans van Houten, CEO of Royal Philips. “With our collective
portfolios, and our healthcare informatics and services platforms,
we will be in an optimal position to improve patient care across
care settings for multiple diseases and medical conditions.”
FinancialsBioTelemetry and its approximately
1,900 employees will become part of Philips’ Connected Care
business segment. The acquisition is projected to be nominal sales
growth and adjusted EBITA margin  accretive for Philips in 2021.
Philips targets significant synergies driven by cross-selling
opportunities, geographical expansion, and portfolio innovation
synergies, such as Philips’ HealthSuite digital platform.
Additionally, Philips will drive operational performance
improvements through its proven productivity programs. The
BioTelemetry business is expected to grow double-digits and to
improve its Adjusted EBITA margin to more than 20% by 2025.
TransactionThe acquisition of BioTelemetry was
structured as a merger under Section 251(h) of the General
Corporation Law of the State of Delaware following the successful
completion of Philips’ previously announced tender offer to
purchase all outstanding shares of common stock of BioTelemetry for
USD 72.00 per share in cash, without interest, less any applicable
withholding taxes. As a result of the merger, all remaining
BioTelemetry shares were converted into the right to receive USD
72.00 per share in cash, without interest, less any applicable
BioTelemetry has requested that NASDAQ files a Form 25 with the
United States Securities and Exchange Commission causing the
delisting of BioTelemetry’s common stock from NASDAQ.
BioTelemetry’s common stock ceased trading prior to the opening of
trading on February 9, 2021.
 Adjusted EBITA is defined as income from operations
excluding amortization of acquired intangible assets, impairment of
goodwill and other intangible assets, restructuring charges,
acquisition-related costs and other significant items.
For further information, please
Steve KlinkPhilips Global Press OfficeTel.: +31 6
Derya GuzelPhilips Investor RelationsTel.: +31 20 59
About Royal PhilipsRoyal Philips (NYSE: PHG,
AEX: PHIA) is a leading health technology company focused on
improving people's health and well-being, and enabling better
outcomes across the health continuum – from healthy living and
prevention, to diagnosis, treatment and home care. Philips
leverages advanced technology and deep clinical and consumer
insights to deliver integrated solutions. Headquartered in the
Netherlands, the company is a leader in diagnostic imaging,
image-guided therapy, patient monitoring and health informatics, as
well as in consumer health and home care. Philips generated 2020
sales of EUR 19.5 billion and employs approximately 82,000
employees with sales and services in more than 100 countries. News
about Philips can be found at www.philips.com/newscenter.
About BioTelemetryBioTelemetry, Inc. is the
leading remote medical technology company focused on the delivery
of health information to improve quality of life and reduce cost of
care. The company provides remote cardiac monitoring,
centralized core laboratory services for clinical trials, remote
blood glucose monitoring and original equipment manufacturing that
serves both healthcare and clinical research customers. More
information can be found at www.gobio.com.
Forward-looking statements This release
contains certain forward-looking statements with respect to the
financial condition, results of operations and business of Philips
and certain of the plans and objectives of Philips with respect to
these items. Examples of forward-looking statements include
statements made about the strategy, estimates of sales growth,
future EBITA, future developments in Philips’ organic business and
the completion of acquisitions and divestments. By their nature,
these statements involve risk and uncertainty because they relate
to future events and circumstances and there are many factors that
could cause actual results and developments to differ materially
from those expressed or implied by these statements.
- BioTelemetry Inc acquisition