Boston Scientific sells cardiac and vascular surgery businesses to
13 November 2007
Boston Scientific Corporation (NYSE:BSX) is to sell
its cardiac surgery and vascular surgery businesses to the Stockholm-based
Getinge Group for $750 million. The company announced its intent to sell the
businesses in August, as part of its plan to divest non-strategic assets and
increase shareholder value.
Boston Scientific acquired the cardiac surgery
business in April 2006 as part of the Guidant transaction. The cardiac
surgery products include beating-heart bypass surgery systems and endoscopic
vessel harvesting for coronary bypass surgery. The business employs
approximately 450 people.
The company acquired the vascular surgery business in 1995. The Vascular
Surgery business develops synthetic grafts and patches used to surgically
treat vascular disease, including the repair of abdominal aortic aneurysms
and peripheral vascular anatomy. The business has approximately 250
employees. The combined revenues of the two businesses in 2006 were
approximately $275 million.
The Getinge Group produces equipment and
systems for healthcare, extended care and pharmaceutical
industries/laboratories. The Group reported pro forma revenues of
approximately $2.2 billion in 2006. The Group comprises three business
areas: Medical Systems (systems for surgery and intensive care), Infection
Control (system equipment for disinfection and sterilization) and Extended
Care (care ergonomics).
"Working with the talented employees of the Cardiac Surgery and Vascular
Surgery businesses, our goal is to drive growth and bring new technologies
to these markets, ultimately benefiting cardiac and vascular surgeons and
their patients," said Johan Malmquist, President and Chief Executive Officer
of the Getinge Group of Stockholm, Sweden. "We are excited to complement our
existing portfolio with these valuable businesses, each of which brings
leading market positions and impressive product lines."
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