Japan's Terumo buys Caridian for $2.6B

Japan's largest medical device maker Terumo has inked a del to purchase CaridianBCT for $2.6 billion to form the world's largest maker of blood transfusion products. Colorado-based Caridian is the maker of blood collection and filtering machinery used by blood banks and hospitals to process donated blood. Caridian boasts 2,300 employees and posted $524 million in 2010 sales.

"There is rising global demand for blood transfusion products, in part due to the aging of the population in developed nations (and increased need for treatments requiring blood products) and, in emerging economies, it is the rapid development of healthcare infrastructure," noted Terumo in a statement. The Caridian deal gives Terumo a wider range of blood processing technologies as well as access to new markets, particularly in North America. Terumo says its blood transfusion business will make up 18 percent of its revenue, up from just 8 percent before the buyout. That boost will help the Japanese company reach a targeted 1 trillion yen of sales within 10 years.

The purchase price is almost 15 times Caridian's 2010 earnings before taxes, interest and depreciation, says Bloomberg. It's the largest buyout ever executed by a Japanese medical equipment maker.

- see Terumo's release
- here's the report from Bloomberg
- read more about the deal from Reuters

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