Becton Dickinson will pay $24 billion in a cash and stock deal to acquire C.R. Bard Inc., which makes medical equipment to assist oncology and surgery.
It's the latest pick-up in a flurry of deals in the sector that aim to expand product offerings and consolidate the number of suppliers available to hospitals.
The most recent deal values Bard at $317 per share, according to a press release. Bard shareholders would receive $222.93 in cash and 0.5077 shares of BD for each of their shares, the companies said. Bard shareholders would stand to own about 15% of the combined company.
Franklin Lakes, New Jersey-based BD expects the acquisition to boost sales in foreign markets such as China, where it estimates it can earn annual revenue of $1 billion.
BD and C. R. Bard expect their deal, which is subject to regulatory and shareholder approvals, to close in the fall of 2017.
Earlier this month, Cardinal Health announced plans to acquire Medtronic's medical supplies business for $6.1 billion.
Earlier this year, Abbott Laboratories acquired rival St. Jude Medical for $25 billion. In 2015, Medtronic bought Covidien for around $49.9 billion, and Zimmer Holdings merged with Biomet for $13.4 billion. BD acquired CareFusion for $12 billion just two years ago.