Acquisition of ArcRoyal further advances Owens & Minor's strategy of Connecting
the World of Medical Products to the Point of CareTM
ArcRoyal's kitting capabilities will add global reach to Owens &
Minor's existing unitized delivery services
Strengthens and expands Owens & Minor's manufacturer services offerings
RICHMOND, Va.--(BUSINESS WIRE)--
& Minor, Inc. (NYSE: OMI) announced that it signed a definitive
agreement on September 19, 2014 to acquire ArcRoyal,
a privately-held surgical kitting company based in Ireland. This
transaction will expand Owens & Minor's capabilities in the assembly of
kits, packs and trays in the European healthcare market and is highly
complementary to the previously announced agreement to acquire Medical
Action Industries (NASDAQ: MDCI), a U.S.-based kitting company. Because
ArcRoyal's primary customers are healthcare manufacturers, the
transaction will further expand Owens & Minor's manufacturer service
offering and will complement Owens & Minor's existing
manufacturer-facing business in Europe. In addition, the combination of
Medical Action Industries and ArcRoyal is expected to enhance Owens &
Minor's global sourcing opportunities.
"The acquisition of ArcRoyal will greatly expand our ability to produce
kits, packs and trays for the healthcare market, and will provide us
with immediate reach into European markets," said James L. Bierman,
president & chief executive officer of Owens & Minor. "ArcRoyal is
well-known in Europe and has an established manufacturer customer base.
We believe this acquisition gives us new opportunities for growth in the
second largest global healthcare market."
ArcRoyal was originally established in 1992 and is now a market leader
in delivering custom solutions for a range of global healthcare
companies. Products and services include custom procedure trays and a
diverse range of essential surgical products, which reach hundreds of
hospitals across Europe through corporate partners, distributors and
other agents. Strategically located 30 miles from Dublin, ArcRoyal ships
products to more than 30 countries.
The transaction is subject to certain customary regulatory approvals and
is expected to close in fourth quarter of 2014. Financial details of the
transaction were not disclosed.
This press release includes "forward-looking statements" within the
meaning of Section 27A of the Securities Act of 1933 and Section 21E of
the Securities Exchange Act of 1934, as amended, that are subject to
risks and uncertainties and other factors. All statements other than
statements of historical fact are statements that could be deemed
forward-looking statements. Risks, uncertainties and assumptions include
risks related to the timing or ultimate completion of the transaction,
as the transaction is subject to certain closing conditions, including
receipt of all necessary regulatory clearances; the possibility that
expected benefits may not materialize as expected; Owens & Minor's
ability to successfully implement integration strategies; as well as the
ability to ensure continued performance or market growth of ArcRoyal's
products and services. These risks, uncertainties and other factors, and
the general risks associated with the business of Owens & Minor
described in the reports and other documents filed by with the
Securities and Exchange Commission, could cause actual results to differ
materially from those referred to in the forward-looking statements. All
forward-looking statements are based on information currently available
to Owens & Minor and are qualified in their entirety by this cautionary
statement. Except as required by law, Owens & Minor does not assume any
obligation to update any such forward-looking statements or other
statements included in this press release.
Additional Information and Where to Find It
Owens & Minor uses its website as a channel of distribution for material
company information, including news releases, investor presentations and
financial information. This information is routinely posted and
accessible under Investor Relations at www.owens-minor.com.
Owens & Minor, Inc. (NYSE: OMI)
is a leading healthcare logistics company dedicated to Connecting the
World of Medical Products to the Point of CareTM
by providing vital supply chain services to healthcare providers and
manufacturers of healthcare products. Owens & Minor provides logistics
services across the spectrum of medical products from disposable medical
supplies to devices and implants. With logistics platforms strategically
located in the United States and Europe, Owens & Minor serves markets
where three quarters of global healthcare spending occurs. Owens &
Minor's customers span the healthcare market from independent hospitals
to large integrated healthcare networks, as well as group purchasing
organizations, healthcare products manufacturers, and the federal
government. A FORTUNE 500 company, Owens & Minor is headquartered in
Richmond, Virginia, and has annualized revenues exceeding $9 billion.
For more information about Owens & Minor, visit the company website at www.owens-minor.com.
Owens & Minor, Inc.
Truitt Allcott, Director, Investor & Media
Graves, Director, Finance & Investor Relations, 804-723-7556
Source: Owens & Minor, Inc.
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