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news.Cardinal Health has signed a definitive agreement to acquire the assets of privately held Enturia for $490 million. The cash transaction includes Enturia's leading line of infection prevention products sold under the ChloraPrep brand name and is expected to close within 60 days, subject to customary regulatory approvals and other conditions.
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The acquisition will complement Cardinal Health’s infection prevention offerings by adding a differentiated and proven product line to the company’s Medical Products and Technologies segment. Cardinal Health plans to accelerate sales of ChloraPrep products to both hospital and alternate-care customers through its US and international sales networks. Enturia’s rich product pipeline is expected to help expand the base of applications for ChloraPrep products.
The acquisition is expected to be slightly dilutive to Cardinal Health’s earnings for the remainder of fiscal year 2008 and accretive each year thereafter. Consistent with Cardinal Health’s approach to acquisitions, Enturia is expected to generate positive economic profit and returns above its cost of capital within the third fiscal year after the purchase.
Kerry Clark, chairman and CEO of Cardinal Health, said: “This is another good example of a tuck-in acquisition that complements our Clinical and Medical Products sector and advances our strategy to help health care providers reduce health care-associated infections and the burden they cause to the quality and cost of care.”