It was the talk of the airwaves last week and now it’s happened. Baxter International Inc. will acquire Gambro AB, a privately held dialysis product company based in Lund, Sweden, for a total consideration of a mere 26.5 billion SEK (approximately a mere $4.0 billion USD at current exchange rates).
Swedish company Gambro is household name in the manufacture and supply of dialysis products and therapies for patients with acute or chronic kidney disease. In acquiring the company Baxter gains a comprehensive dialysis product portfolio, complementing its own global home dialysis offerings, and it believes positioning it to better meet the evolving needs of the large and growing dialysis market.
Gambro’s products are used in hemodialysis and continuous renal replacement therapy, with annual sales of approximately $1.6 billion in 2011.
“Baxter has a legacy of innovation in dialysis, including the development of peritoneal dialysis for the treatment of end-stage kidney disease patients in the home. This acquisition further strengthens our global dialysis offerings by extending our portfolio in the hemodialysis segment,” said Robert L. Parkinson, Jr., chairman and chief executive officer of Baxter. “This transaction will provide attractive returns and enhance Baxter’s sales and earnings growth over the company’s current long-range financial plan.”
“Both companies have a longstanding heritage in kidney care with innovative technologies and a dedication to saving, sustaining and improving the lives of patients worldwide,” said Guido Oelkers, president and chief executive officer of Gambro. “This acquisition responds to the needs of the nephrology community, healthcare providers and patients seeking a comprehensive dialysis offering of proven products and therapies.”
The full press release can be found here.
Source: Baxter International, Inc.