- Hillrom (NYSE:HRC) enters an agreement to acquire Bardy Diagnostics, an innovator in digital health and a provider of ambulatory cardiac monitoring technologies.
- As per the terms, Hillrom will purchase BardyDx for a cash consideration of $375M and future potential payments based on the achievement of certain commercial milestones.
- The acquisition includes net operating losses valued at more than $20M, expected to result in future tax benefits.
- The company sees deal dilutive to fiscal 2021 adjusted earnings by ~$0.10/share, does not expect the transaction to have an impact on 2021 financial guidance.
- Hillrom to finance the acquisition through a combination of cash on hand and borrowings under existing credit facilities, and expects to close the transaction in the fiscal second quarter of 2021.