Prostate cancer device specialist Theragenics Corporation®, has signed a definitive merger agreement, which will see all of the outstanding common stock of the Company for $2.20 per share in cash to a newly formed affiliate of Juniper Investment Company, LLC.
Theragenics Corporation operates in two business segments: surgical products and a brachytherapy seed business. The surgical products business manufactures and distributes wound closure, vascular access, and specialty needle products.
The Board of Directors of Theragenics unanimously approved the Juniper merger agreement with the caveat that it permits the company to solicit competing offers from credible and bona fide third parties through September 6, 2013.
That said, the transaction is expected to close in the fourth quarter of 2013, subject to stockholder approval and customary closing conditions as set forth in the merger agreement.
Upon the closing of the transaction, which is likely to be in Q4 2013, current CFO Frank J. Tarallo, will become the Chief Executive Officer while also remaining President of the Brachytherapy business.
Regarding the transaction, M. Christine Jacobs, the Company’s Chairman, Chief Executive Officer and President, stated, “This transaction presents a significant premium over the Company’s trading prices prior to the announcement of discussions with Juniper, and, after careful analysis, the Board has determined that the transaction is in the best interests of our stockholders.”
Ms. Jacobs, who would retire from Theragenics upon the closing of a transaction with Juniper, concluded, “Juniper is an experienced investor and committed to maintaining the customers-first approach that is so fundamental to the Company. Theragenics will be well positioned to continue to serve the needs of its customers without the significant burden of public company costs.”
Alexis Michas, a managing member of Juniper Investment Company, said, “We will be focused on delivering profitable growth by providing outstanding products and outcomes for the Company’s customers. We recognize that the Company’s success is driven by the efforts of its employees, and we look forward to continuing to build on the Company’s strong foundation of quality, dedication and service.”
Source: Theragenics Corporation, Business Wire