STERIS plc acquired United States Endoscopy Group, Inc. (US Endoscopy) for approximately $270 million (plus a $2.1 million working-capital adjustment) for the shares, plus about $7 million for related real estate, a transaction completed in August 2012, structured as all cash (cash on hand plus existing credit-facility borrowings; no debt assumed).
United States Endoscopy Group, Inc. (US Endoscopy) operates in Healthcare, is based in Mentor, Ohio, USA. US Endoscopy, founded in 1991 and based in Mentor, Ohio, designs, manufactures and sells therapeutic and diagnostic single-use medical devices and accessories for the gastrointestinal (GI) endoscopy market. The purchase gave STERIS direct access to the GI procedural space with a proprietary single-use consumables franchise and a U.S. direct sales force, and the completion was reported in a Form 8-K filed August 15, 2012.
Management described US Endoscopy as a natural extension of STERIS's GI-market presence, citing years of double-digit organic growth, immediate scale, a direct U.S. sales force and a strong brand, consistent with a strategy of expanding into attractive markets adjacent to STERIS's core.
Proprietary single-use GI consumables with a long record of double-digit organic growth and a direct U.S. sales channel into the endoscopy procedure space. Integrated into the Healthcare segment
The addition of US Endoscopy to our current portfolio is a natural extension of our presence in the GI market. They have generated double-digit organic growth for many years through successful new product development, and the acquisition provides STERIS immediate scale with a direct sales force in the U.S. and a strong brand name.Walt Rosebrough, President and CEO, STERIS Corporation
We are absolutely delighted to have the opportunity to become part of STERIS, a company we respect and know well.Gulam Khan, President, CEO and Co-Chairman, US Endoscopy
Advisory firms were not disclosed for this transaction.