Baxter International Inc. (NYSE:BAX) announced today it has exercised its option and completed the purchase of SIGMA International General Medical Apparatus, LLC., a privately held company based in Medina, New York, by acquiring the remaining 60 percent of the company for a cash payment of approximately $90 million. In 2009, Baxter entered into an agreement with SIGMA for the exclusive global distribution of its infusion pumps, a 40 percent equity stake in SIGMA, and an option to purchase the remaining 60 percent of SIGMA.
SIGMA develops and manufactures smart infusion pump technology including the Spectrum™ large volume pump (LVP), which provides advanced safety and clinician-friendly features. In connection with the transaction, Baxter acquired SIGMA’s product development pipeline, which includes a platform of multiple infusion technologies with advanced safety capabilities. Within the pipeline is a syringe infusion pump that has been submitted to the United States Food and Drug Administration (FDA) for 510(k) clearance. Syringe pumps are small infusion pumps used to deliver more precise amounts of IV medications and fluids to patients.
''The acquisition of SIGMA builds upon Baxter’s long-standing leadership in IV medication and fluid delivery and demonstrates our commitment to patient safety as a global, leading provider of smart infusion systems,'' said Robert M. Davis, president of Baxter’s Medical Products business. ''We have had a distribution relationship with SIGMA for three years. SIGMA’s smart infusion technology is a great fit with Baxter’s fluid system portfolio and will expand our ability to provide clinicians with a comprehensive medication delivery solution at the bedside.''
About the Spectrum Infusion SystemThe Spectrum Infusion System is an advanced platform of smart infusion pumps manufactured by SIGMA International. Weighing approximately 2.5 pounds and measuring 1/10 the size of many other large volume pumps, the Spectrum LVP is small and easy to use and features technology intended to help reduce infusion-related adverse drug events. The Spectrum smart infusion system also offers wireless connectivity to simplify the transfer of data to and from the devices for updating drug libraries as well as analysis for continuous quality improvement. Spectrum smart infusion pumps use Baxter’s standard, intravenous administration sets.
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