Pass Stacek, Poco Fit and | World's Third-Rate Machinery Company or Substitution
Medical Network June 13 hearing medical device industry, super mergers or will happen again.
The Wall Street Journal reported on Monday that Stryker has issued a purchase offer to Boston Scientific.
The Wall Street Journal stated that it is not clear if Poco is willing to accept the acquisition of Stryker. Both Stryker and Poco representatives also declined to comment on the report.
Both Stryker and Poco are American companies, and they are all global medical instruments Top 20 in the industry enterprise.
In the previous fiscal year, Stryker realized total revenue of US$12,444 million, a year-on-year increase of 9.9%. Poco achieved total revenue of US$9,048 million, an increase of nearly 8% year-on-year. After the simple addition of the revenue data of the two companies , Consolidated revenues of nearly 21.5 billion US dollars, more than GE, Siemens, Philips, also exceeded the Abbott, Danaher, second only to Medtronic's 29.97 billion US dollars and Johnson's 26.573 billion US dollars of medical equipment business income.
At current prices, the market value of Poco is $47.66 billion, and the market value of Stryker is $66.45 billion. The combined market value of the two companies will exceed $110 billion.
If the deal is passed, this will be the largest merger of medical devices in 2018, and it will be one of the largest mergers in recent years. The combination of Stryker and Poco will, if nothing else, become a new one. The third largest medical device company in the world.
Stryker and Poco's product lines are more diversified.
Stryker's product structure, mainly orthopedic consumables and medical surgical instruments, each accounted for about 44% of total revenue, and 11% were mostly neurosurgical devices.
The orthopedics business accounts for nearly half of Stryker, achieving revenue of US$5.464 billion in FY17, second only to Johnson & Johnson and Zimmer, leading Medtronic and Xerox, the third largest orthopaedic device in the world, and also a performance growth. Highest.
In addition, the endoscope business in its medical surgical instruments earned revenue of 1.652 billion U.S. dollars in fiscal 2017, and revenue of 1.242 billion U.S. dollars in nerve device business.
Poco’s product structure is divided into cardiovascular intervention and peripheral services. heart Rhythm management business, medical surgery business three blocks.
Among them, cardiovascular intervention and peripheral businesses realized revenue of US$3.5 billion in fiscal year 2017, cardiac rhythm management business revenue of US$2.173 billion, and medical surgery business revenue of US$3.377 billion.
In the cardiovascular sector, Poco ranks third in the world with more than $5 billion in annual revenue, second only to Medtronic and Abbott.
In its surgical operations, endoscopic intervention products were the largest. Revenue in fiscal year 2017 was US$1.619 billion. Urinary and pelvic floor health Product revenue was 1.124 billion U.S. dollars, and revenue from neuromodulation products was 635 million U.S. dollars.
Streak and Poco, although they are the world's top 20 machinery companies, but the product line has almost no overlap, does not constitute a competitive relationship, the rare overlap of business is in the nerve device. Antitrust should not become the merger of the two Land Rover.
To trace back, as early as seven or eight years ago, Stryker bought Poco's neurovascular business for $1.5 billion.
Once the two companies reach a merger agreement, Stryker will receive Poco's cardiovascular stents, defibrillator and other product lines, quickly enter new product areas, and take a certain advantage.
In addition, Stryker's endoscopes and Poco's endoscopic intervention products complement each other and enable them to achieve synergies in the field of endoscopic minimally invasive surgery-related devices.
In the field of neurosurgery products, both parties can also integrate their business and improve together.
The combined entity, which has several major product lines of orthopaedics, cardiovascular, surgery, and neurosurgery, will also have a greater competitive relationship with Medtronic and Johnson & Johnson.
Of course, whether this acquisition and merger transaction can be achieved eventually cannot be determined.
As early as 2014, foreign media also broke the news that Stryker planned to purchase another medical giant, Xeroxue, for US$20 billion. However, Stryker denied that the rumors had finally failed to fall true.
In recent years, mergers and acquisitions between global medical device giants have been one after the other.
In 2014, Zimmer purchased Bang Mei with US$13.3 billion and merged into a new company; in 2015, Medtronic acquired Kehui with US$42.9 billion; In 2016, Abbott acquired St. Jude with US$25 billion; In 1984, BD acquired Bard for US$24 billion; in 2018, it was reported that Stryker would acquire Poco.
With the speed of super mergers and acquisitions a year, the business restructuring of the medical device industry continues to deepen, and the rankings of global medical device giants are also changing. In the future, will there be any major super acquisitions? Who is the ultimate The king of the equipment, can not say.
In addition, taking 2017 as an example, the industry’s larger mergers and acquisitions include: Abbott’s US$5.8 billion acquisition of Aieriel; Condele’s US$6.1 billion acquisition of Medtronic’s medical supplies business; Johnson & Johnson’s US$4.33 billion acquisition of Abbott Ophthalmology business; Fresenius acquires US dialysis equipment manufacturer NxStage for US$2 billion; PerkinElmer acquired OMT diagnostics for Omaha giant US$1.3 billion; Integra Life Sciences acquired Johnson & Johnson Codman neurosurgery business for US$1.05 billion; Philips acquires Spectranetics, a manufacturer of minimally invasive surgical instruments, for 1.9 billion euros.
In the medical device industry, M&A transactions are frequent, and multinational giants are not hesitating to buy or buy, and almost all of them are in the consumables and IVD fields. The change in the pattern of the two major markets is inevitable. And after the integration, it becomes increasingly large and increasingly powerful. Big Macs will also eventually affect the Chinese medical device market and Chinese medical device companies.
