Angiotech Buys Private Firm

Shares of Angiotech Pharmaceuticals (ANPI Quote) were getting a lift Wednesday after the drug and device maker said it agreed to acquire privately held American Medical Instruments.

The $785 million acquisition will be funded by a $600 million loan and about $200 million in cash, according to the company. The transaction is expected to close in the second quarter and should immediately add to earnings.

Angiotech's stock was up $1.44, or 11.5%, to $14.02 on heavy volume. Angiotech says the acquisition will provide it with several new product opportunities and drive long-term growth. The combined company will focus on general, plastic and ophthalmic surgery, as well as performing vascular surgery, interventional radiology and tumor biopsies. ...