XIO Group will buy Israeli medical laser player Lumenis ($LMNS) for about $510 million in cash. That price tag isn't much of a premium to the company's valuation because a rumor that it would be acquired for about $500 million by China's Fosun Pharma already pushed shares up earlier this year. On the XIO news, Lumenis shares added only about 14% to $13.75. The offer is for $14 per share.
Lumenis went public a little more than a year ago in February 2014 with a NASDAQ IPO that raised $75 million at an IPO price of $12 a share. Its two largest shareholders, the Viola Group and XT Hi-Tech Investments that hold about 59% of the company between them have already entered into an agreement with XIO Group, which is a multibillion-dollar alternative investment firm that spans London, Hong Kong and Shanghai locations.
Other major shareholders in Lumenis at March 31 included Fidelity Management (7.68%), BlackRock Advisors (1.99%), Acadian Asset Management (1.94%) and Deerfield Management (1.21%).
"Over the past three years we have managed to transform Lumenis into a strong, growing and profitable company," said Lumenis CEO Tzipi Ozer-Armon in a statement. "We have refocused our strategy, introduced new products, and tripled our EBITDA."
"We have created a very bright and promising future for Lumenis by building a robust pipeline of innovative products, a strong sales team in each region, and by enhancing our global brand recognition," she added. The transaction is slated to close in September.
Lumenis expects 2015 revenues in the range of $305 million to $310 million, an increase of 5.3% to 7% over the prior year, the company said when it disclosed guidance in May. It expects non-GAAP EPS in the range of $0.62 to $0.66 for the year.
The company's energy based technologies include Laser, Intense Pulsed Light and Radio-Frequency for surgical, ophthalmic and aesthetic applications.
- here is the release
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