STERIS plc acquired Spectrum Surgical Instruments Corp and Total Repair Express (TRE) for approximately $110 million aggregate (including contingent consideration); about $93 million net of anticipated tax benefits, a transaction completed in October 2012, structured as cash (funded with credit-facility borrowings).
Spectrum Surgical Instruments Corp and Total Repair Express (TRE) operates in Healthcare (Specialty Services), is based in United States, had revenue of about approximately $72 million combined. STERIS bought two privately-owned US surgical-instrument repair businesses, Spectrum Surgical Instruments Corp and Total Repair Express, providers of surgical-instrument repair services and instrument-care products to hospitals and surgery centers. The two together generated roughly $72 million of revenue and made STERIS one of the largest surgical-instrument repair businesses in the United States, folded into its Specialty Services unit.
Management said entering surgical-instrument repair enhanced STERIS's existing presence in hospital sterile processing and surgical departments, and that its customer relationships could be leveraged to grow the businesses nationally as hospitals sought cost and productivity solutions.
National-scale surgical-instrument repair with recurring service revenue directly adjacent to STERIS's sterile-processing customers. about $93 million net cost after anticipated tax benefits; leverages existing STERIS customer relationships Integrated into the Healthcare segment's Specialty Services business
As we continue to expand our Customer solutions, entering the surgical instrument repair business through these acquisitions will enhance our existing presence in hospital sterile processing and surgical departments. These bolt-on acquisitions will give STERIS one of the largest surgical instrument repair businesses in the United States.Walt Rosebrough, President and CEO, STERIS Corporation
Advisory firms were not disclosed for this transaction.