Respironics looks to acquire Profile Therapeutics
May 24, 2004
MURRYSVILLE, Pa. - Respironics will offer $44.6 million to acquire Profile Therapeutics, a UK-based company that distributes, develops and commercializes products for the treatment of sleep and respiratory patients.
Respironics announced its intentions in a May 21 press release.
If, as expected, the deal goes through, Profile Therapeutics will become a wholly owned subsidiary of Respironics and be integrated into two of the company's divisions - the International Division and the Respiratory Drug Delivery Division (formerly the Asthma and Allergy Division).
Profile is currently Respironics' distributor for sleep and ventilation products in the UK and has represented Respironics products for over 15 years in that country. The last 12 months of reported revenues for Profile Therapeutics totaled about $23.9 million.
The acquisition is subject to customary closing conditions. Board members at both companies have approved the deal. Shareholders representing approximately 66% of Profile Therapeutics' outstanding shares have indicated their support for the transaction, subject to certain limitations.
Completion of the acquisition is expected around the end of the second quarter of calendar year 2004, which is Respironics' fiscal year 2004 fourth quarter.
"This opportunity is consistent with our strategic plan, which calls for expanding our presence in the international sleep and respiratory markets, and enhances the breadth of our products and services," said Respironics' President and CEO John Miclot. "Profile Therapeutics has been an excellent long-standing customer in the UK and has also developed innovative technologies that are complementary to our existing portfolio."