Covidien , a provider of patient monitoring and respiratory care devices, has entered into a definitive agreement to acquire Oridion Systems.
Under the agreement, Covidien’s subsidiary will pay $23.00 in cash per Oridion share for a total of approximately $300m.
Oridion said along with specialized algorithms, it develops Microstream capnography monitors and modules and etCO2 breath sampling lines.
The transaction, subject to certain regulatory approvals, is scheduled to be completed in the second quarter of 2012.
Covidien said assuming a second quarter 2012 closing, it expects this transaction not to have a material impact on its fiscal 2012 sales.
Covidien respiratory & monitoring systems president Robert White said Oridion’s products and etCO2 complement the company’s current portfolio of pulse oximeters and monitoring products, enabling it to offer a complete portfolio of solutions to monitor respiratory function for patients.
Covidien said once the transaction has been completed, it will report the Oridion Systems business as part of its Oximetry & Monitoring product line.