KALAMAZOO, Mich. — Orthopedic implant and surgical equipment maker Stryker Corp. announced Aug. 25 it would acquire Gaymar Industries for $150 million in an all-cash transaction.
Founded in 1956 and owned by private equity firms Nautic Partners and Norwest Equity Partners since 2003, Gaymar specializes in support surfaces, pressure ulcer and temperature management products. In 2009 the company had sales of $77 million, of which approximately $14 million were related to a 10-year original equipment manufacturer relationship under which Gaymar has been providing Stryker with exclusive rights to sell support surface and pressure ulcer management products to acute care customers in North America.
"Gaymar provides our Medical division with an attractive portfolio of high-performance support surface and pressure ulcer management products that target an approximately $1.8 billion worldwide market, while simultaneously enhancing our customer relationships through the addition of their temperature management offering," said Stephen P. MacMillan, Stryker chairman, president and CEO, in a release.
According to Kent Davies, Gaymar CEO, "The integration of our complementary product portfolio will strengthen Stryker's leadership in patient handling while driving innovations that can help prevent adverse events and reduce health care costs."
The boards of directors of both companies have approved the transaction, which is expected to close by Oct. 1.