AngioDynamics Divests Dialysis Portfolio And Biopsy Product Line To Merit Medical Systems For $100M
Portfolio Pulse from Nabaparna Bhattacharya
AngioDynamics has divested its Dialysis product portfolio and BioSentry Tract Sealant System Biopsy product to Merit Medical Systems for $100 million in cash. The divested assets contributed approximately $32 million in sales in FY23. AngioDynamics plans to use the proceeds to pay debts and support strategic investments.
June 09, 2023 | 2:03 pm
News sentiment analysis
Sort by:
Descending
POSITIVE IMPACT
Merit Medical Systems acquires Dialysis and Biopsy product lines from AngioDynamics for $100M, expects acquisitions to be accretive to non-GAAP net income and EPS.
The acquisition of the Dialysis and Biopsy product lines from AngioDynamics is expected to be accretive to Merit Medical's non-GAAP net income and EPS in the first full year post-closing. This positive financial impact is likely to have a short-term positive effect on the stock price.
CONFIDENCE 90
IMPORTANCE 80
RELEVANCE 100
NEUTRAL IMPACT
AngioDynamics divests Dialysis and Biopsy product lines to Merit Medical Systems for $100M, plans to pay debts and support strategic investments.
The divestiture will help AngioDynamics pay off debts and support further strategic investments. However, the divested assets contributed $32 million in sales in FY23, which may have a negative impact on future revenues. The overall impact on the stock price is expected to be neutral in the short term.
CONFIDENCE 90
IMPORTANCE 80
RELEVANCE 100