BRAINTREE, Mass. and TUCSON, Ariz., Sept. 8 Haemonetics Corporation, a global blood management solutions company, and Engineering and Research Associates Inc. (known as "SEBRA(R)"), a leading provider of blood and medical manufacturing technologies, announced today that Haemonetics has acquired the assets of SEBRA's blood collection and processing business for $12.5 million cash. The acquisition is expected to close within the next several weeks.
Haemonetics helps hospitals and blood collectors to improve patient care and lower costs by optimizing the collection, processing, and use of scarce blood resources. The Company's broad product offering includes blood collection and separation technologies, surgical blood salvage systems, information technology platforms, and consulting services that better manage the blood supply chain through improved blood management practices.
Through its Biological Collection and Processing Division, SEBRA markets a suite of products used in blood collection and processing which can improve quality and regulatory compliance of blood products. The Division's principal products include:
Brian Concannon, Haemonetics' President and CEO, said, "Haemonetics is well established as the global leader in blood management solutions, and the SEBRA products further expand the breadth of our product offering. As importantly, these products strengthen Haemonetics' footprint in the whole blood collection market in advance of our launch of an automated whole blood collection system which is currently in development." Haemonetics' automated whole blood collection system will combine an automated whole blood collection device with integrated information technology for donor and process management, and a blood transport system that standardizes the blood storage and transport process, thereby strengthening regulatory and quality compliance efforts. Haemonetics expects to launch the automated whole blood collection system in late fiscal 2011.
Roger Vogel, President and CEO of Engineering and Research Associates, said, "Our blood collection products address an important and growing market. The sale of the business line to Haemonetics ensures a great strategic partner which can further grow the business through its global marketing reach. Additionally, Haemonetics' broad presence in the plasma collection market can facilitate expansion of the SEBRA products into the plasma collection centers. For Engineering and Research Associates, the sale will enable further worldwide expansion of its industry leading Medical Manufacturing Technology products and solutions, which provide engineering consulting services and new technologies for thermal-forming, sealing and welding plastics for medical device manufacturing and biopharmaceutical companies in more than 60 countries."
Based in Tucson, Arizona, Engineering and Research Associates will remain a global company dedicated to the development of innovative technology and quality products for the medical device manufacturing and biopharmaceutical industries. The company will operate under a new company name to be announced later this year. Haemonetics will retain the SEBRA brand and will relocate the SEBRA Blood Collection and Processing Division to its Braintree and Salt Lake City locations.
The SEBRA Blood Collection and Processing business had $10 million in sales in 2008 and has a 10 year compounded annual growth rate for revenues of more than 9%. The acquisition is expected to be neutral to earnings per share in fiscal 2010 and accretive in fiscal 2011.
Haemonetics and Engineering and Research Associates have posted frequently asked questions on Haemonetics' website at http://www.haemonetics.com/site/content/km/factSheet.asp.
Haemonetics (NYSE: HAE) is a global healthcare company dedicated to providing innovative blood management solutions for our customers. Together, our devices and consumables, IT products, and consulting services deliver a suite of business solutions to help our customers improve clinical outcomes and reduce the cost of healthcare for blood collectors, hospitals, and patients around the world. Our technologies address important medical markets: blood and plasma component collection, the surgical suite, and hospital transfusion services. To learn more about Haemonetics, visit our web site at http://www.haemonetics.com.
This release contains forward looking statements that involve risks and uncertainties, including technological advances in the medical field and standards for transfusion medicine and our ability to successfully implement products that incorporate such advances and standards, product demand, market acceptance, regulatory uncertainties, the effect of economic and political conditions, the impact of competitive products and pricing, blood product reimbursement policies and practices, foreign currency exchange rates, changes in customers' ordering patterns, the effect of industry consolidation as seen in the plasma market, the effect of communicable diseases and the effect of uncertainties in markets outside the U.S. (including Europe and Asia) in which we operate and other risks detailed in the Company's filings with the Securities and Exchange Commission. The foregoing list should not be construed as exhaustive. The forward-looking statements are based on estimates and assumptions made by management of the Company and are believed to be reasonable, though are inherently uncertain and difficult to predict. Actual results and experience could differ materially from the forward-looking statements.
-- Radio-Frequency (RF) Tube sealers -- Tubing sealers are used to seal and segment parts of the consumables used in blood collection, while maintaining a sterile environment for the collected blood. Sterility is critical in ensuring the highest quality blood component for transfusion. -- Whole Blood Collection Devices (Shakers) -- Shaker devices rock blood units throughout the donation to facilitate proper mixing of an anticoagulant, included in the blood bag, and the donated blood. Proper mixing of anticoagulant and blood ensures that the red cells won't clot. (Red cell clotting during filtration is a major reason for blood discards.) SEBRA's shaker devices also weigh blood units during collection to ensure that the right amount of blood is consistently collected from donors. -- Mobile Collection & Ancillary Equipment -- Mobile lounges, tourniquets, temperature stabilizers, supply cases, and more are utilized on mobile drives. Blood collection is analogous to a manufacturing line that gets moved every day. SEBRA's products are designed with the robustness and portability to support the rigors of a mobile drive.
SOURCE Haemonetics Corporation