Cantel Medical (CMN)'s Mar Cor Purification Subsidiary Acquires Gambro's U.S. Water Business
10/7/2010 11:02:46 AM
LITTLE FALLS, N.J., Oct. 7 /PRNewswire-FirstCall/ -- CANTEL MEDICAL CORP. (NYSE: CMN), through its Mar Cor Purification subsidiary, has continued the expansion of its Water Purification and Filtration segment by acquiring the exclusive rights in the United States to manufacture and sell Gambro's water treatment products used in the production of water for hemodialysis. The total consideration for the transaction with Gambro was $23.75 million and the licensed business had pre-acquisition revenues of approximately $14 million. This transaction is expected to be slightly accretive to Cantel's earnings per share in the first full year.
Curt Weitnauer, President of Mar Cor Purification stated, "The Gambro heat-disinfection central system is a great enhancement to our water-for-dialysis portfolio. These new products will help us address two major trends in dialysis water offerings: hot water disinfection and single patient treatment. We'll be able to provide our dialysis clinic customers the broadest and most advanced array of water treatment alternatives from chemical to heat disinfection and single to multi-patient systems."
Mar Cor will immediately commence sales and service of all Gambro water products, components, parts and consumables solely intended for the U.S. market. The manufacturing of these products will be transitioned into Mar Cor's ISO 13485 Registered Medical Device manufacturing facility in Plymouth, MN. Mar Cor will provide service and support to Gambro's installed base of over 1,200 clinics and hospitals in the United States. All U.S. employees aligned with Gambro's water business will be offered employment with Mar Cor, which will help provide a smooth transition for all Gambro customers.
Cantel's President and CEO, Andrew Krakauer, added, "Building atop the success of our acquisition of GE Water & Process Technologies' dialysis water business and other Mar Cor regional acquisitions, we are continuing to execute our strategy of marrying cutting-edge products with our nationwide service network to fulfill the needs of our customers. Our Water Purification and Filtration segment will now be nearly $100 million in sales. I am very pleased and confident in the leadership of our Mar Cor group and anticipate both top and bottom-line synergies to result from this unique opportunity."
About Mar Cor Purification, Inc.
With the addition of Denver, Mar Cor Purification now has service offices in 20 cities in the U.S. and Canada, with 7 resin regeneration plants strategically located in Atlanta, Boston, Chicago, Montreal, Philadelphia, San Antonio and Toronto. For more information please visit http://www.mcpur.com.
About Cantel Medical Corp.
Cantel Medical Corp. (NYSE: CMN) is a leading provider of infection prevention and control products in the healthcare market. Our products include specialized medical device reprocessing systems for renal dialysis and endoscopy, dialysate concentrates and other dialysis supplies, disposable infection control products primarily for the dental industry, water purification equipment, sterilants, disinfectants and cleaners, hollow fiber membrane filtration and separation products for medical and non-medical applications, and specialty packaging for infectious and biological specimens. We also provide technical maintenance for our products and offer compliance training services for the transport of infectious and biological specimens. For more information please visit http://www.cantelmedical.com.
Gambro is a global medical technology company and a leader in developing, manufacturing and supplying products and therapies for Kidney and Liver dialysis, Myeloma Kidney Therapy, and other extracorporeal therapies for Chronic and Acute patients. Gambro was founded in 1964 and has today 8,000 employees, production facilities in 9 countries, and sales in more than 100 countries. For decades, Gambro has been first to market with many groundbreaking innovations. By designing and delivering solutions to dialysis clinics and intensive care units, Gambro offers not just improved treatment quality, but also improved efficiency. For more information please visit http://www.gambro.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.
Andrew A. Krakauer
Richard E. Moyer
President and CEO
Cameron Associates, Inc.
Cantel Medical Corp.
Phone: (973) 890-7220
Phone: (212) 554-5466
SOURCE Cantel Medical Corp.