Haemonetics Corporation and Global Med Technologies, Inc announced a definitive agreement under which Haemonetics will acquire Global Med for approximately US$ 60 million in a cash tender offer.
As a global leader in blood management solutions, Haemonetics helps plasma fractionators, hospitals and blood collectors to improve clinical care and lower costs by optimizing the collection, processing, and use of scarce blood resources. Haemonetics' broad product offering includes blood collection and separation technologies, surgical blood salvage systems, and diagnostic products for enhanced blood management in the surgical setting. Haemonetics also markets information technology platforms and consulting services to help manage the blood supply chain and improve blood management practices.
Global Med is a healthcare information technology company which markets a breadth of software solutions and services that span the blood supply continuum, from blood collection to the hospital transfusion center to the patient care environment.
Under the terms of the agreement, Haemonetics will commence a tender offer to purchase all outstanding shares of Global Med's common stock at US$ 1.22 per share and preferred stock at approximately US$ 1,694 per share. The tender offer is conditioned on the tender of a majority of the outstanding shares of Global Med's common and preferred stock, and subject to other customary closing conditions. The US$ 60 million estimated net value of the transaction is based on Global Med's 49 million diluted common equivalent shares outstanding. Haemonetics will fund the acquisition from available cash and anticipates that it will continue to have more than US$ 100 million in cash on the balance sheet at fiscal year end.
Brian Concannon, president and CEO of Haemonetics, said, "Efficient blood management is now being recognized as a critical component of improving clinical care while reducing cost, and Haemonetics is the only company positioned to address the needs of both the blood collection and transfusion markets. Software is a key enabler for blood management, enhancing productivity, regulatory compliance and quality. Global Med's software offerings are a strategic complement to our existing products and will allow us to offer customers an end-to-end software solution for blood management, from donor recruitment to the patient transfusion."
Michael I Ruxin, chairman and CEO of Global Med, added, "The integration of our two companies is very exciting. We share a common strategy to provide blood management tools to hospitals and blood centers that improve patient care and reduce costs. In the blood management arena, Global Med brings a broad-based information technology platform offering that spans the blood supply chain, while Haemonetics brings devices, software, and consulting services for optimal blood management. This merger is especially advantageous to our customers, as well as the blood center and hospital transfusion industry because we believe our combined organizations can provide expanded access to new technologies and innovative products while leveraging the efficiencies of a larger organization."
Global Med's domestic companies include Wyndgate Technologies, a leader in software products and services for donor centers and hospital transfusion services; eDonor, which offers web-based donor relationship management systems; PeopleMed, which implements cost-effective software validation, consulting and compliance solutions to hospitals and donor centers, and Hemo-Net, which offers hosting solutions for those customers wishing to outsource the operation and maintenance of their databases. Global Med's European subsidiary, Inlog SA, is a leading developer of donor center and transfusion management systems as well as cellular therapy software, laboratory information systems and quality assurance medical software systems internationally. Global Med had US$ 24 million in revenues through the first nine months of its current fiscal year.
Haemonetics expects the transaction to close in its fourth quarter fiscal 2010. Excluding the impact of one time costs associated with the transaction, Haemonetics anticipates minimal dilution to earnings per share in fiscal 2010 which is included in its updated guidance range of US$ 2.80 to US$ 2.85 per share.
Global Med Technologies, Inc is an international healthcare information technology company which develops regulated and non-regulated products and services for the healthcare industry.
Haemonetics is a global healthcare company dedicated to providing innovative blood management solutions for our customers.