Royal Philips Electronics
has recently announced it is to acquireWitt Biomedical Corporation
, the largest independent supplier of haemodynamic monitoring and clinical reporting systems used in cardiology catheterisation laboratories (Cath Labs). Subject to receipt of regulatory approval, Philips will acquire Witt Biomedical for approximately $165 million. The transaction is expected to close in the second quarter of 2006.
In hospital Cath Labs, heart patients undergo a catheterisation procedure, in which a small tube or catheter is inserted in an artery in the arm or leg to reach the heart for diagnosis and treatment. Haemodynamic monitors measure and monitor a patient's ECG (electrocardiogram), blood pressure and other vital signs associated with a Cath Lab procedure. Clinical reporting systems record and document the entire process.
Philips says it expects the acquisition of Witt Biomedical to be profitable from 2008 onwards. Upon completion of the acquisition, Witt Biomedical will be integrated into the Cardiovascular X-ray business unit within Philips' Medical Systems Division.
The companies say the acquisition will lead to increased sales in cardiovascular x-ray, cardiology picture archiving and communication systems (PACS), and in haemodynamic monitoring and reporting systems. Based on company estimates, Philips in 2005 held the number one global position in cardiovascular x-ray and in cardiology PACS and Witt was the global number two in haemodynamic monitoring and clinical reporting