US medical device maker C R Bard to acquire Rochester Medical for $262 mn

US Medical device company C. R. Bard Inc yesterday said that it would acquire Rochester Medical Inc, a maker of products for urinary retention and incontinence, for about $262 million.

Bard will pay $20 per share, representing a 45 per cent premium to the stock's last close.

This transaction has been structured as a merger and has been approved by the board of both companies.

New York-based Rochester Medical manufactures urological catheter design and has developed the first silicone self-adhering male external catheters as well as the first antimicrobial intermittent catheters.

Its anti-infection Foley catheter remains the only non-latex Foley proven to reduce catheter-associated urinary tract infections.

With over 20 US and foreign patents, Rochester Medical is the world's leading developer and manufacturer of silicone catheters for continence care and bladder drainage.

New Jersey-based C R Bard said that the acquisition represents a compelling strategic fit and enhances its position in a $930 million global urology homecare market.

''By 2018, an estimated 1.1 billion individuals worldwide will be affected by some form of lower urinary tract or bladder outlet obstruction1. Urinary retention and incontinence are common chronic conditions with these patients that require product solutions outside the hospital,'' it added.

Rochester Medical makes Magic 3 intermittent self catheters (ISC), which are steadily gaining share in the $800 million global ISC market. This product line incorporates an innovative multi-layer construction specifically designed with a soft outer layer and hydrophilic coating to reduce irritation of the urethral tissue, while having a firm inner layer for ease of insertion.

Male urinary incontinence, which can result from radical prostatectomy, benign prostatic hyperplasia, or aging, is also a chronic condition typically managed with incontinence pads or male external catheters (MEC).

Rochester Medical markets an extensive line of innovative products for these patients and currently has a product leadership position in the $130 million global MEC market segment.

''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. We believe that strengthening our position in the home care market, and specifically the large and fast-growing intermittent self-catheter segment, is strategically important at this time,'' said, Timothy Ring, Bard's chairman and CEO.