Hillrom

Hillrom is an American developer and supplier of medical equipment.

History

2021: Baxter bought Hillrom for $12.4 billion

In early September 2021, Baxter announced the acquisition of Hillrom for $12.4 billion. This amount includes the debts of the sold manufacturer of medical equipment.

Hillrom shareholders will receive $156 per share from Baxter. The company initially declined an offer of $144 per share in early August 2021.

Baxter noted that Hillrom has a portfolio of products and innovative developments that complement its assets. The agreement will promote the offering of a wide range of health products and services to patients and physicians around the world, as well as the provision of patient and user-centered health services with the goal of improving clinical outcomes.

Baxter acquired Hillrom for $12.4 billion

The combination of Baxter and Hillrom is expected to accelerate the expansion of companies into digital and connected care solutions that gradually help patients access hospital care at home or in various other facilities. In addition, the combined companies will expand access to the Hillrom portfolio worldwide and provide financial returns for Baxter shareholders.

Patients increasingly want to receive care at home or nearby, and hospitals and other service providers are increasingly using digital health technology to increase access, improve quality and reduce costs, "said Jose Almeida, chairman of the board of directors, president and CEO of Baxter International.

Complementary pooled company product offerings will help support patients in hospital, home, and other care centers, enabling effective inclusion and management of care delivery. In addition, pooled expertise in therapy delivery, monitoring, blood purification, diagnosis and communications for patients and care personnel will enhance the connectivity of other services.

On August 26, 2021, Baxter announced that it could finance the transaction by raising cash and debt financing from JPMorgan Chase and Citibank.

The combination of Hillrom, which manufactures healthcare tools ranging from low-tech hospital chairs to thinner wearable electrocardiographs and desktops, and Baxter, which specializes in care, dietary, and surgery products, could deliver an annual synergistic effect of $250 million before tax by 2024.^[1]

Notes