Becton Dickinson to Acquire C.R. Bard for $24 Billion
April 23 2017 - 7:23PM
Dow Jones News
By Joseph Walker
Becton, Dickinson and Co. said on Sunday that it would acquire
C. R. Bard Inc. for $24 billion in the latest merger of
medical-supplies manufacturers.
The deal values C.R. Bard at $317 per share, a 25.2% premium
over the company's share price as of Friday's close. Bard
shareholders will receive about $222.93 in cash and the balance in
Becton Dickinson stock, the companies said.
Becton Dickinson, based in Franklin Lakes, N.J., said the deal
would improve its market position in medication management and
infection prevention by broadening its product portfolio. Bard,
whose products include catheters and implantable heart-devices, had
$3.7 billion in sales last year.
"Combining with Bard will accelerate our ability to offer more
comprehensive, clinically relevant solutions to customers and
patients around the globe," said Vince Forlenza, Becton Dickinson's
chairman and chief executive officer, in a statement.
The transaction is expected to increase Becton Dickinson's
adjusted earnings per share and result in $300 million in annual
pretax cost savings by 2020, the companies said. Combined, the
companies will have about 67,000 employees, according to their most
recent annual reports.
Becton Dickinson had $12.5 billion in sales last year. It sells
products including syringes and needles to hospitals and
physicians, as well as diagnostic tools and laboratory supplies
used by researchers.
Becton Dickinson said it would use $1.7 billion of available
cash to fund the transaction, along with about $10 billion in new
debt and about $4.5 billion in equity and other equity-related
securities sales. Bard shareholders will also receive $8 billion in
Becton Dickinson stock.
The transaction was approved unanimously by the boards of both
companies and is expected to close in the fall of 2017.
Write to Joseph Walker at joseph.walker@wsj.com
(END) Dow Jones Newswires
April 23, 2017 19:08 ET (23:08 GMT)
Copyright (c) 2017 Dow Jones & Company, Inc.
Bard C R (NYSE:BCR)
Historical Stock Chart
From Mar 2024 to Apr 2024
Bard C R (NYSE:BCR)
Historical Stock Chart
From Apr 2023 to Apr 2024