According to Reuters, CR Bard Inc., a New Jersey-based medical device company, has announced that it will buy Rochester Medical Inc. for $262 million to gain market share in the urology homecare market.
Reuters states that Bard will pay $20 per share, or 45 percent more than the recent stock price.
Bard is currently defending ongoing lawsuits involving its IVC filter. There have been reports of a 25 percent failure rate involving a small group of patients using one particular IVC product. The lawsuits allege that the filters have a tendency to fracture and cause internal organ damage.
A Chief Executive and Chairman at Bard explained that the Rochester Medical acquisition will strengthen Bard’s position in the home care market, “and specifically the large and fast-growing intermittent self-catheter segment, is strategically important.” He goes further to state that “Rochester’s double-digit growth product portfolio, including their customer access programs, is a key building block in our strategy to access faster growing markets over the long-term.”
Bard already makes devices for use in vascular, urology, oncology and specialty surgery. The company predicts that about 1.1 billion people worldwide will be affected by a lower urinary tract or bladder obstruction by 2018.