Baxter Completes Acquisition of Baxa Corporation
DEERFIELD, Ill. - November 10, 2011 - Baxter International Inc. (NYSE:BAX) announced today that the company has completed its planned acquisition of Baxa Corporation, a privately held global company based in Englewood, Colo., for a cash consideration of $380 million. Baxa develops pharmacy technology that enhances the efficiency and safety of oral and IV dose preparation and delivery.
"The acquisition of Baxa demonstrates Baxter's long-term commitment to nutrition and patient safety and it allows us to offer a broader range of solutions for the safe preparation and delivery of IV medications," said Robert M. Davis, president of Baxter's Medical Products business. "We believe Baxa's expertise in safely preparing IV and oral liquid medications, and their shared commitment toward improving patient care through innovative drug preparation and delivery technology will benefit patients around the world."
Among the product offerings now part of the Baxter portfolio are the ExactaMix®; Compounder, devices that automate multi-ingredient solution compounding; ExactaMed® Syringes, dispensers that provide greater accuracy for dosing oral liquid medications; NeoThrive® Enteral Feeding System, enteral syringes and accessories; and the DoseEdge® Pharmacy Workflow Manager, an integrated system for managing IV and oral dose preparation activities.
Annual sales for Baxa were $157 million in 2010, and Baxter expects the top-line growth of this business to be accretive to the company's future sales growth. In addition, Baxter expects this transaction to be dilutive to 2012 earnings by $0.03 to $0.05 per diluted share primarily related to acquisition-accounting and transaction-related expenses. Excluding these items, the acquisition is neutral to full-year 2012 earnings and increasingly accretive thereafter.
About Baxter's Medical Products Business
Baxter's Medical Products business develops and provides products used in the delivery of fluids and drugs to patients. These include IV solutions and administration sets, premixed drugs and drug-reconstitution systems, IV nutrition products, infusion pumps, inhalation anesthetics and products and services for people with end-stage kidney disease. At the forefront of IV nutrition, Baxter's ongoing advancements include multi-chamber containers, lipids, amino acids, vitamins and admixing technology.
Baxter International Inc., through its subsidiaries, develops, manufactures and markets products that save and sustain the lives of people with hemophilia, immune disorders, infectious diseases, kidney disease, trauma, and other chronic and acute medical conditions. As a global, diversified healthcare company, Baxter applies a unique combination of expertise in medical devices, pharmaceuticals and biotechnology to create products that advance patient care worldwide.
This release includes forward-looking statements concerning the company's acquisition of Baxa Corporation, including with respect to the expected financial impact on the company in 2012 and beyond. The statements are based on assumptions about many important factors, including the following, which could cause actual results to differ materially from those in the forward-looking statements: demand for and market acceptance for new and existing products; actions of regulatory bodies and other governmental authorities; changes in laws and regulations; product quality or patient safety issues; and other risks identified in the company's most recent filing on Form 10-K and other SEC filings, all of which are available on the company's website. The company does not undertake to update its forward-looking statements.