Cantel Medical Acquires SPSmedical Supply Corp. Expanding Its
Sterility Assurance Monitoring Business
LITTLE FALLS, N.J.,
Nov. 2, 2012 /PRNewswire/
-- CANTEL MEDICAL CORP. (NYSE: CMN), through its Crosstex
International subsidiary, has further expanded its sterility
assurance monitoring business through the acquisition of SPSmedical
Supply Corp. Based in Rochester,
NY, SPSmedical is a leading manufacturer and provider of
biological and chemical indicators for sterility assurance
monitoring services in the acute-care, alternate-care and dental
markets. SPS offers a wide-array of products and services that
enable healthcare facilities to safely and accurately monitor and
verify their sterilization practices and protocols.
For the latest twelve months, SPSmedical generated revenue and
adjusted EBITDA[1] of $17.5 million
and $4.3 million, respectively. The
purchase price was $32.5 million in
cash. Cantel has also purchased the facility utilized by the
SPSmedical business in Rochester,
NY for $3.5 million in cash.
The transaction is expected to be accretive to Cantel's earnings
per share in fiscal year 2013 and beyond.
Gary Steinberg, President and CEO
of Crosstex said, "As a leading provider of sterility assurance
monitoring services and products to the acute-care and
alternate-care markets, SPSmedical is the perfect complement to our
ConFirm brand biological monitoring business. SPS is recognized as
an expert in instrument sterilization and reprocessing protocols,
and is a highly respected provider of education programs, personnel
training and healthcare facility audit services. SPS is a strong
platform from which Crosstex can expand its global presence as a
leader in healthcare infection prevention and control."
Charles Hughes, General Manager
of SPSmedical, and newly appointed Cantel Vice President of
Infection Prevention Consulting Services commented, "We see great
opportunity to continue the growth of SPSmedical, and Cantel is the
perfect partner to help us achieve those goals. SPSmedical,
Crosstex and Cantel all share the same commitment to providing high
quality products and services for infection prevention and control.
I am incredibly proud of the accomplishments of our company, and I
am thankful to the entire SPSmedical team. We are very excited to
bring this business to the next level in our partnership with
Cantel and Crosstex."
Andrew Krakauer, President and
CEO of Cantel Medical added, "I am highly impressed with the
employees, operations and overall quality of the SPSmedical
business. A robust sterility assurance protocol is the bedrock of
an effective infection prevention and control program in hospitals
and healthcare settings. The addition of SPSmedical strengthens the
strategic position of Cantel Medical Corp. as a leader in infection
prevention and control solutions.
I am very excited that Chuck and Nancy
Hughes as well as John Hughes
and Mariann Hughes have entered into
multi-year agreements and will continue to lead SPSmedical.
Chuck Hughes is a world renowned
expert on sterilization and instrument reprocessing for the
prevention of healthcare associated infections. In his new
role at Cantel, Chuck will be able to apply his expertise across
the entire Cantel family of companies to further enhance our
sterility and reprocessing protocols, bolstering our leadership in
the infection prevention and control industry."
About Crosstex International
A subsidiary of Cantel
Medical Corp., Crosstex, founded in 1953, has its headquarters and
major manufacturing operations in Hauppauge, New York. Sold throughout the
world, Crosstex branded and private label products include
sterilization packaging and assurance products and services, face
masks, patient towels and bibs, disinfectants, germicidal wipes,
hand care products, gloves, and protective eyewear. For further
information, visit the Crosstex website at
http://www.crosstex.com.
About Cantel Medical Corp.
Cantel Medical Corp.
(NYSE:CMN) is a leading provider of infection prevention and
control products in the healthcare market. Our products include
water purification equipment, sterilants, disinfectants and
cleaners, specialized medical device reprocessing systems for
endoscopy and renal dialysis, disposable infection control products
primarily for dental and GI endoscopy markets, dialysate
concentrates and other dialysis supplies, hollow fiber membrane
filtration and separation products for medical and non-medical
applications, and specialty packaging for infectious and biological
specimens. We also provide technical maintenance for our products
and offer compliance training services for the transport of
infectious and biological specimens.
This press release contains forward-looking statements within
the meaning of the Private Securities Litigation Reform Act of
1995. These statements involve a number of risks and uncertainties,
including, without limitation, the risks detailed in Cantel's
filings and reports with the Securities and Exchange Commission.
Such forward-looking statements are only predictions, and actual
events or results may differ materially from those projected or
anticipated.
[1] Earnings before interest, taxes, depreciation and
amortization, adjusted for extraordinary and unusual items.
SOURCE Cantel Medical Corp.