• BD (Becton, Dickinson and Co.; Franklin Lakes, New Jersey) said it will acquire GeneOhm Sciences (San Diego), a privately held company developing molecular testing for the rapid detection of bacterial organisms, including those known to cause healthcare-associated infections (HAIs). BD has agreed to pay $230 million, plus up to $25 million in additional incentives, for the company. The acquisition, subject to regulatory approvals, is expected to close by the end of March.
• Diagnostic Ultrasound (DU; Bothell, Washington), a provider of hand-held ultrasound instruments, reported purchasing Saturn Biomedical Systems (Burnaby, British Columbia), a manufacturer of the GlideScope video laryngoscope. Saturn’s GlideScope assists with anesthesia intubations in surgery and in the emergency room, and it is designed to make the passage of a breathing tube into the airway during anesthesia safe, reliable and easy. DU specializes in ultrasound devices for the urology, acute care, primary care and extended care markets.
• dj Orthopedics (San Diego) reported closing its acquisition of Newmed (Anglet, France) for about EUR 13 million ($15.4 million) in cash. The acquisition was first unveiled in December 2005. The sellers could also receive up to an additional EUR 1 million, based on achievement of certain revenue targets for 2006. Newmed, through wholly owned subsidiaries in France and Spain and operating under the trade name Axmed, manufactures orthopedic rehabilitation devices, such as rigid knee braces and soft goods, generating the majority of its revenue in France, but with a growing presence in Spain and other Europe markets.
• Endocare (Irvine, California), a medical device company focused on the development of minimally invasive technologies for tissue and tumor ablation, reported the sale of all of the stock of its wholly owned subsidiary, Timm Medical Technologies (Minneapolis), to Plethora Solutions Holdings (London). Proceeds for the sale of this manufacturer of erectile dysfunction products were $9.5 million, consisting of $8.1 million in cash and a 24-month convertible promissory note of $1.4 million. The transaction is expected to close by mid-February.
• GE Healthcare (Waukesha, Wisconsin) reported completing its $1.2 billion acquisition of IDX Systems (South Burlington, Vermont), a healthcare information technology (IT) provider. Together, the companies said they will create a leading healthcare IT vendor with one of the most comprehensive suites of clinical, imaging and business information systems available. The deal was first disclosed this past September.
Kyphon (Sunnyvale, California) said it has agreed to acquire InnoSpine (Los Altos Hills, California), a private company focused on developing a technology platform for the diagnosis and treatment of axial low back pain due to disc degeneration. Terms call for an initial payment of about $2.5 million in cash to the shareholders of InnoSpine, plus the possibility of up to an additional $27.5 million in cash or stock, based on achievement of clinical and other milestones as well as royalties on future net sales.
• Natus Medical (San Carlos, California) reported completing its purchase of Bio-logic Systems (Mundelein, Illinois) through the acquisition of all outstanding shares of Bio-logic common stock for $8.77 a share. In addition, for each share that was subject to a Bio-logic stock option, Natus paid an amount equal to the excess of $8.77 over the exercise price of the option. Natus financed a portion of the purchase price through a new senior secured credit facility obtained through Wells Fargo Bank. Natus also utilized about $12.8 million of Bio-logic’s cash to fund the acquisition. Natus makes products for the detection, treatment, monitoring, and tracking of common disorders in newborns and children. Bio-logic develops computer-based electrodiagnostic systems and related disposables for use by hospitals, clinics, school districts, universities and physicians.
• Per-Se Technologies (Alpharetta, Georgia) reported that its stockholders have approved the issuance of common stock in connection with its proposed acquisition of NDCHealth (Atlanta). The deal valued at more than $900 million was first reported in August. Per-Se said the merger will close “promptly,” with holders of NDCHealth stock receiving $19.50 for each share held. Each share of NDCHealth common stock will be converted into the right to receive $14.05 in cash, plus a number of shares of Per-Se common stock equal to $5.45 divided by an applicable price per share of Per-Se stock.
• Stryker (Kalamazoo, Michigan) reported that it has acquired, by merger, all outstanding stock of PlasmaSol (Hoboken, New Jersey), a private, development-stage firm that has developed a technology that Stryker said it will use to provide sterilization equipment for use in sterilizing certain of its MedSurg Equipment products. The cost of the transaction totals about $17.5 million, including the assumption of certain liabilities.
• St. Jude Medical (St. Paul, Minnesota) reported that it has completed the $50 million acquisition of privately held Savacor (Los Angeles) first unveiled in December. Launched in late 2000, Savacor develops heart failure diagnostic and therapy guidance products and technologies, currently in clinical evaluation. Its activities are based on the premise that fixed-dose therapies do not adjust well for changing conditions of congestive heart failure and that an implanted sensor can provide continuing assessment for better management.