This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
TheStreet Open House

CareFusion To Acquire Pharmacy Automation Innovator Rowa

SAN DIEGO, July 5, 2011 /PRNewswire/ -- CareFusion (NYSE: CFN), a leading, global medical technology company, today announced an agreement to acquire Rowa, a Germany-based company specializing in robotic medication storage and retrieval systems for retail and hospital pharmacies, for approximately $150 million.

"Rowa is the clear pharmacy automation leader in Western Europe with innovative technology that is complementary to our Pyxis® portfolio of products," said Kieran Gallahue, chairman and CEO of CareFusion. "Combined, we see an opportunity to provide customers outside the U.S. with a complete medication management offering and accelerate our global growth in the retail and hospital pharmacy automation segments."

Rowa's core products enable high-density, high-speed storage and retrieval of pre-packaged pharmaceutical inventory. With more than 3,500 installations in 30 countries, these automated systems are designed to reduce costs and improve workflow while addressing the unique pharmacy operations requirements outside of the U.S.

"Since forming Rowa in 1996, we have focused on building a brand that is innovative and reliable with superior customer service," said Markus Willems, co-founder and managing director of Rowa. "Today, Rowa is one of the leading pharmacy robotics companies in Europe, and we look forward to taking our growth to the next level with CareFusion."

CareFusion plans to continue Rowa's longstanding focus on retail pharmacy customers, while also targeting accelerated expansion within its core hospital customers. CareFusion Pyxis automated dispensing systems put secure access to medication on the nursing floor and close to patients. The Rowa products are complementary, designed for the management of medication that takes place in the pharmacy, with technology geared for the unique packaging common in many countries outside the United States. The Rowa products secure and automate large volumes of medications and offer unique features such as refrigerated storage, a stock input and management system and a simple software user interface.

Rowa has more than 300 employees and is headquartered in Kelberg, Germany with operations in Italy, the Netherlands, Denmark and Sweden. Last year, Rowa's installations increased nine percent and the business expanded product sales into Australia, Canada and other new markets. More than 98 percent of current users would recommend Rowa products, according to a recent company survey.

The acquisition is expected to be neutral to adjusted earnings in the first year and increasingly accretive thereafter. Subject to anti-trust filings and other customary conditions, the acquisition is expected to close by the end of the first quarter of FY12.

1 of 2

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
DOW 17,031.14 +43.63 0.26%
S&P 500 1,984.13 -1.41 -0.07%
NASDAQ 4,518.9020 -48.6960 -1.07%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs