A Medical Device Daily

Analogic (Peabody, Massachusetts), an OEM supplier of radio frequency amplifiers for MRI systems reported that it has agreed to acquire privately held Copley Controls (Canton, Massachusetts), a supplier of gradient amplifiers for MRI and precision motion control systems. The purchase price is about $68.75 million in cash and up to an additional $1.8 million to reimburse Copley shareholders for the tax consequences of the transaction. Copley will become a wholly-owned subsidiary of Analogic.

The transaction is expected to close early next month and is subject to customary closing conditions.

The purchase price and additional reimbursement to be paid to Copley shareholders will be funded out of Analogic’s available cash and so is not subject to financing conditions.

Analogic President/CEO Jim Green said, “The addition of Copley, with its leading-edge technology in high-field gradient amplifiers and its solid customer base, will enable Analogic to expand our product offerings to our OEM customers, open up new opportunities in Asia, and enhance our position as a leading provider of medical subsystems for MRI scanners.”

In addition to its Canton headquarters, Copley has offices and local technical support in the U.S., Europe, and Asia, comprising about 250 employees worldwide. Its revenues for the calendar year 2006 were $73.6 million; preliminary calendar year 2007 revenues are estimated to be $83 million.

Analogic estimates that revenues related to the acquisition in 2008 will be more than $85 million and, excluding one-time accounting adjustments, accretive to earnings in Analogic’s fiscal FY08 and fiscal years thereafter.

Global Med Technologies (Lakewood, Colorado), an international e-Health, medical information technology company, reported that its Wyndgate Technologies (El Dorado, Hills, California) division has signed an agreement with Mid Coast Hospital (Brunswick, Maine) to license its SafeTrace Tx transfusion management software. Terms of the agreement were not disclosed.

SafeTrace Tx is designed to support the full scale of transfusion services from enterprise centralized facilities to small, individual hospital laboratories. Advanced functionality in SafeTrace Tx, such as electronic crossmatch, automated patient special needs tracking and antigen/antibody functionality, will assist Mid Coast in matching patients for transfusions. SafeTrace Tx is intended to help raise the standard of care for patients, improve safety, reduce waste and increase efficiency for blood transfusion services.

Mid Coast offers acute care, inpatient, and outpatient medical facilities to 22 neighboring communities.

In other dealmaking news:

• Odyssey HealthCare (Dallas) reported completing its previously disclosed acquisition of VistaCare (Scottsdale, Arizona) via a “short-form merger” under Delaware law.

In the merger, which was first disclosed in January (Medical Device Daily, Jan. 17, 2008), Odyssey acquired all the remaining outstanding shares of VistaCare that had not been acquired by Odyssey in the recently completed tender offer. The remaining shares, by virtue of the merger, were converted into the right to receive $8.60 a share in cash.

The transaction was valued at about $148 million.

Odyssey is a provider of hospice care in the U.S.

• Medline Industries (Mundelein, Illinois) and 3M Health Care (St. Paul, Minnesota) reported an exclusive license and supply agreement for 3M’s electrosurgical patient plates in the U.S. No financial terms of the deal were disclosed.

Medline has acquired the exclusive license and sales rights in the U.S. for 3M’s electrosurgical patient plates and accessories, including the 1100 series electrosurgical patient plates and the 9100 series universal patient plates with safety ring. This product line will be sold under the Medline brand, the companies said.

3M-brand patient plates are featured in national group purchasing contracts and are currently sold through several distribution channels.

Medline said it would continue to support all sales channels and build upon the relationships 3M has established with healthcare customers to ensure the lowest supply costs and allow these customers to maintain their focus on patient safety.