company Stryker Corp.
announced Tuesday that it will purchase healthcare equipment manufacturer Berchtold Holding
for $172 million.
The deal allows Stryker to broaden its product offerings at a time when hospitals are narrowing their supplier networks in attempts to gain more bargaining power by dealing with fewer suppliers offering a wider array of equipment.
Berchtold, with facilities in both Germany and Charleston, S.C., designs surgical infrastructure equipment that, in 2013, had about $125 million in sales. Products include equipment booms and surgical tables and lighting systems that will complement the Kalamazoo, Mich.-based Stryker's current equipment portfolio, according to a release from Stryker.
“We are committed to offering innovative, best-in-class operating room infrastructure equipment,” Timothy Scannell, Stryker's group president of MedSurg and Neurotechnology, said in the release. “This acquisition delivers on that commitment by strengthening our portfolio and allowing us to address rapidly evolving customer requirements for operating room design.”
Though the acquisition remains subject to normal closing conditions, company officials expect to finalize the deal in the second quarter of this year.Follow Rachel Landen on Twitter: @MHrlanden