BD accelerates offerings with Bard

FRANKLIN LAKES, N.J., and MURRAY HILL, N.J. - Becton, Dickinson and Company will buy C. R. Bard for $24 billion, the companies announced April 23.

The deal builds on BD's position in medication management and infection prevention, and increases its opportunities in fast-growing clinical areas like vascular therapy, according to a press release.

"Combining with Bard will accelerate our ability to offer more comprehensive, clinically relevant solutions to customers and patients around the globe, creating a strong partner for healthcare providers who are increasingly focused on delivering better outcomes at a lower total cost,” said Vince Forlenza, BD's chairman and CEO. “Our two purpose-driven organizations are well-aligned strategically, sharing a strong track record of performance and a deep commitment to addressing unmet needs in today's challenging healthcare environment.”

Under the terms of the transaction, Bard common shareholders will be entitled to receive approximately $222.93 in cash and 0.5077 shares of BD stock per Bard share, or a total of value of $317.00 per Bard common share based on BD's closing price on April 21, 2017. At closing, Bard shareholders will own approximately 15% of the combined company.

By combining Bard's strong leadership position and innovation pipeline in fast-growing vascular access segments—PICCs (peripherally inserted central catheters), midlines and drug delivery ports—with BD's leadership and innovation in IV drug preparation, dispensing, delivery and administration, the combined company will be better positioned to provide end-to-end medication management solutions across the care continuum, according to the release.

“Bard will expand BD's focus on the treatment of disease states beyond diabetes to include peripheral vascular disease, urology, hernia and cancer,” it states.

Following the acquisition, BD expects to create a third segment within the company called BD Interventional, where the Bard business will report both operationally and financially. Separately, BD also announced on April 23 that Tom Polen, currently executive vice president and president of the BD Medical Segment, will become president of BD effective immediately. In this new role, he will oversee BD's Medical and Life Sciences segments, as well as the new Interventional segment.

BD previously bought CareFusion, which manufacturers everything from infusion pumps and IV sets to ventilation and respiratory products, for $12.2 billion in 2014.

Bard previously bought Liberator Medical, a direct-to-consumer provider of home medical supplies, including catheters, ostomy, diabetes and mastectomy, for $181 million in 2015.