Cantel Industries to acquire Surgicot; Marks second acquisition in infection control sector.CLIFTON, N.J.--(BUSINESS WIRE)--May 6, 1996--Cantel Industries, Inc. (NASDAQ NASDAQ in full National Association of Securities Dealers Automated Quotations U.S. market for over-the-counter securities. Established in 1971 by the National Association of Securities Dealers (NASD), NASDAQ is an automated quotation system that reports on :CNTL CNTL Control ) announced today that it has signed a letter of intent to acquire Surgicot, Inc., a private company based in Research Triangle Park Research Triangle Park, research, business, medical, and educational complex situated in central North Carolina. It has an area of 6,900 acres (2,795 hectares) and is 8 × 2 mi (13 × 3 km) in size. Named for the triangle formed by Duke Univ. , North Carolina North Carolina, state in the SE United States. It is bordered by the Atlantic Ocean (E), South Carolina and Georgia (S), Tennessee (W), and Virginia (N). Facts and Figures Area, 52,586 sq mi (136,198 sq km). Pop. . The announcement was made by James P. Reilly, president and chief executive officer of Cantel Industries, Inc. Cantel will acquire Surgicot for 600,000 shares of Cantel stock and $4.5 million. The acquisition, subject to fulfillment of certain conditions, is expected to close prior to July 31, 1996, the end of Cantel's fiscal year. The company expects that Surgicot will add substantially to Cantel's revenues and will have a positive impact on earnings per share. Reilly further stated that "the acquisition of Surgicot, Inc. marks the second step in Cantel's strategy to grow its business in the area of infection control, which is a multi-billion dollar market in the U.S. This acquisition, coupled with our recently completed acquisition of MediVators, Inc. will allow Cantel to provide infection control services and products in both the capital equipment and consumables segments of the industry. Surgicot's existing sales network will complement the capital equipment distribution network that we have in place with MediVators." Walter L. Brittle, Jr., president of Surgicot, Inc., notes that Surgicot "is one of the largest manufacturers and marketers of biological and chemical sterility indicators and biobarrier packaging. Estimates have placed the indicators market at $45 million and the biobarrier packaging market at $140-million. The market has been growing at a rate of seven percent annually, however, Surgicot's growth of biological and chemical indicators has exceeded this percentage for the past two years." Surgicot, Inc., founded in 1992, provides healthcare institutions with cost-effective products to monitor and assure the delivery of sterile products for patient and healthcare provider safety. Surgicot's product line is made up of sterility assurance and sterile specialty products used by Central Service, Operating Room operating room n. Abbr. OR A room equipped for performing surgical operations. , Infection Control and related areas in healthcare facilities. The products are available through a local and national distributor network in North America North America, third largest continent (1990 est. pop. 365,000,000), c.9,400,000 sq mi (24,346,000 sq km), the northern of the two continents of the Western Hemisphere. and in many international markets. Cantel completed its acquisition of MediVators, of Cannon Falls, Minn., in March of this year. MediVators designs, manufactures and markets endoscope endoscope, any instrument used to look inside the body. Usually consisting of a fiber-optic tube attached to a viewing device, endoscopes are used to explore and biopsy such areas as the colon and the bronchi of the lungs. disinfection disinfection, n the process of destroying pathogenic organisms or rendering them inert. disinfection, full oral cavity, n a procedure used to reduce active periodontal disease, usually completed within a certain short time frame. equipment and supplies and medical waste disposal systems. The company recently announced an agreement with Olympus America - Endoscope Division for Olympus America to have exclusive distribution rights for the MediVators endoscope disinfection equipment and supplies in the U.S. Central and South America South America, fourth largest continent (1991 est. pop. 299,150,000), c.6,880,000 sq mi (17,819,000 sq km), the southern of the two continents of the Western Hemisphere. , the Caribbean and the West Indies. Through its Canadian subsidiary, Carsen Group, Inc., Cantel markets and distributes medical equipment (including flexible and rigid endoscopes), precision instruments (including microscopes and image analysis systems) and industrial equipment (including remote visual inspection devices and laser distance measurement equipment). Carsen offers a range of photographic equipment and business products. CONTACT: Cantel Industries, Inc. James P. Reilly, 201/470-8700 or Martin E. Janis & Company, Inc. Bev Jedynak, 312/943-1100 |
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