Medical device maker Covidien PLC will acquire Israeli camera-in-a-pill maker Given Imaging for $30.00 per share in cash, or a total of $860 million, the companies said on Sunday. Given Imaging has developed technology for visualising, diagnosing and monitoring the digestive system, including its PillCam, a swallowed capsule endoscope. Its shares closed at $23.65 on Nasdaq on Friday."We believe GI (gastrointestinal) is one of the most attractive specialty procedure areas. Acquiring Given will enable Covidien to significantly expand its presence in a $3 billion GI market," said Bryan Hanson, group president for medical devices and the United States at Covidien."Adding Given's portfolio of diagnostics to our portfolio accelerates Covidien's strategy of providing physicians with products that support the patient along the care continuum from diagnosis to treatment."The combination of Covidien's global presence and Given Imaging's innovative capabilities has the potential to transform this market, said Homi Shamir, chief executive of Given Imaging.
Covidien Public Limited Company is engaged in the development, manufacture and sale of healthcare products for use in clinical and home settings. Shares of COV traded higher by 0.86% or $0.58/share to $68.07. In the past year, the shares have traded as low as $49.65 and as high as $68.88. On average, 2123010 shares of COV exchange hands on a given day and today's volume is recorded at 1470259.
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