Buyer: Owens & Minor
Sector: Medical Supply
Owens & Minor pays $710 million for Halyard’s surgical supply business
Owens & Minor Inc. (NYSE: OMI) has agreed to buy Halyard Health Inc.’s (NYSE: HYH) surgical and infection prevention business for about $710 million. The acquisition will expand the buyer’s portfolio of branded healthcare and medical products. The target supplies surgical gowns, sterilization wraps, and medical gloves under the Aeroblue, Aerochrome, One-Step, Quick Check and Smart-Fold brands. Halyard says the the divestiture is part of the company’s strategy to become a pure-play medical device company. Halyard will use the sale proceeds to invest in other M&A opportunities. Halyard is located in Alpharetta, Georgia, and makes medical devices that are mostly used for pain management, such a respiratory pumps.
“In today’s rapidly changing healthcare industry, Owens & Minor is taking aggressive steps to strengthen and diversify our business model, and this transaction supports and enhances our ability to execute our strategy and provides significant opportunities for growth,” says Owens & Minor CEO Cody Phipps. In 2017, Owens & Minor agreed to acquire medical supply distributor Byram Healthcare. Owens & Minor is a Richmond, Virgina-based healthcare logistics provider.
What does this transaction mean for the M&A opportunities and valuation of your business? Contact Paragon Ventures at 800-719-1555 for more information.