Avista Acquires BM Medical Imaging
Avista Capital Partners and Bristol-Myers Squibb (BMS) announced a deal whereby Avista will purchase Bristol-Myers Squibb’s Medical Imaging. The deal calls for an exchange of almost $525 million in cash. Avista issued a press release with the details of the acquisition.
Regulatory approval is pending. Assuming those conditions are met, the deal is expected to close at the end of January in 2008. Avista cites the opportunity to expand their portfolio of offerings by purchasing a diagnostic imaging company.
BMS, alternatively, notes their intent to become a next generation BioPharma organization. As such, the sale of the Medical Imaging business will allow reinvestment of the funds from the sale into the pharmaceutical business.
The Medical Imaging group will function as a distinct entity and receive a new name. The new CEO of the organization will be Don Kiepert, who is the CEO and President of Point Therapeutics. Mr. Kiepert also founded Point Therapeutics and previously served as the company chairman.
Avista Capital Partners has completed six different investments in the healthcare industry, including this transaction. Earlier this month, Avista announced plans to purchase Boston Scientific’s Fluid Management and Venous Access businesses, described on HospitalBuyer.
December 26, 2007 Related topics: Mergers & Acquisitions