LITTLE FALLS, N.J.,
June 4, 2014 /PRNewswire/
-- CANTEL MEDICAL CORP. (NYSE: CMN), today announced that it
entered into a definitive stock purchase agreement to acquire
PuriCore International Ltd. for a purchase price of $26.9 million in cash
consideration. PuriCore International, a wholly-owned
subsidiary of PuriCore plc (LSE: PURI), is a leading provider of
automated endoscope reprocessors, endoscope drying and storage
cabinets, chemistry and consumables in addition to comprehensive
maintenance and validation services in the United Kingdom. With an employee base of
approximately 120 individuals, including a complete sales and
service team and facilities in Stafford and Clevedon, England, the addition of PuriCore
International provides Cantel Medical comprehensive coverage of the
UK market.
For the twelve months ended December 31,
2013, PuriCore International had reported revenues and
earnings before interest, taxes, depreciation and amortization per
UK GAAP standards of approximately $25
million and $3 million,
respectively, at current exchange rates. With the upcoming launch
of its next-generation pass-through automated endoscope reprocessor
in Cantel's fiscal first quarter, Cantel expects the business to
show significant sales and profit growth over the next several
years. Cantel anticipates the acquisition to be slightly accretive
to US GAAP earnings per share in the fiscal year ending
July 31, 2015 and accretive
thereafter.
In purchasing PuriCore International, Cantel will significantly
expand its reach and capabilities in international markets with a
well-established operation in the United
Kingdom and a platform for future expansion both in the UK
as well as more broadly in continental Europe. When combined with the full breadth of
the Medivators product range, the Medivators/PuriCore offering will
be the most comprehensive infection prevention and control
portfolio for the GI suite in Europe.
"The PuriCore endoscopy business has a highly accomplished team,
a complimentary product portfolio and a well-established customer
base in the UK market," said Jorgen
Hansen, President of Medivators and COO of Cantel Medical.
"This acquisition will bring to the Medivators portfolio a state of
the art pass-through AER platform which we believe is critical to
our continued success in the UK and Europe."
Andrew Krakauer, President and
CEO of Cantel Medical said, "A key element of our growth strategy
is to expand our scale and presence in international markets. The
acquisition of the PuriCore endoscopy business is an important step
in our effort to make Cantel Medical a truly global company."
The transaction will require approval by a simple majority of
the voting shareholders of PuriCore plc as well as other customary
closing conditions. As of the signing of the definitive agreement,
shareholders representing more than 50 percent of the outstanding
share capital of PuriCore plc have entered into agreements
supporting the proposed transaction. The transaction is expected to
close on or about June 30, 2014. Upon
closing, PuriCore International will be integrated into our
Medivators business and its results will be reported as part of our
Endoscopy operating segment.
About Cantel Medical Corp.
Cantel Medical is a leading global company dedicated to
delivering innovative infection prevention and control products and
services for patients, caregivers, and other healthcare providers
which improve outcomes, enhance safety and help save lives. Our
products include specialized medical device reprocessing systems
for endoscopy and renal dialysis, advanced water purification
equipment, sterilants, disinfectants and cleaners, sterility
assurance monitoring products for hospitals and dental clinics,
disposable infection control products primarily for dental and GI
endoscopy markets, dialysate concentrates, hollow fiber membrane
filtration and separation products, and specialty packaging for
infectious and biological specimens. Additionally, we provide
technical service for our products. For further information, visit
the Cantel website at www.cantelmedical.com.
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.
SOURCE Cantel Medical Corp.