Medtronic (NYSE:MDT) announced in a press release today that it has bought out the remaining 70% share of NGC Medical S.p.A. in a deal valuing the Italian hospital management provider at $350 million.
NGC Medical manages the cardiovascular suites, operating rooms and intensive care units at nearly 30 hospitals in Italy and is “rapidly expanding its service offerings throughout Europe, the Middle East and Africa,” according to the press release. Medtronic had owned a 30% stake in NGC and plans to have it serve as its managed services operation in its hospital solutions segment.
Today’s announce comes just weeks after Medtronic announced a $42.9 billion acquisition of Ireland-based competitor Covidien. That acquisition involves Medtronic moving its executive offices to Ireland to save on taxes.
The Minneapolis-based company said today it spent $350 million to buy privately held NGC Medical S.p.A. to expand in Europe, the Middle East and Africa.
Medtronic shareholders will control the combined company, which will be led by current Medtronic Chairman and CEO Omar Ishrak. The combined company will keep its operational headquarters in Minneapolis.
Shares of Medtronic closed at $63.52 on Tuesday and have climbed about 11 percent so far this year.
Source: Medtronic, MassDevice.com