Biotelemetry Rockets on Royal Philips's $2.8B All-Cash Offer
Shares of wearable heart-monitoring device maker BioTelemetry (BEAT) - Get Report surged on Friday after Royal Philips said it agreed to buy the company for $2.8 billion in cash.
Shares of BioTelemetry jumped more than 15% in premarket trading on Friday after the companies said they cut a deal, in which BioTelemetry shareholders will receive $72 a share in cash, a 17% premium over Thursday’s closing price.
The deal arms Philips, the Dutch medical-technology company, with BioTelemetry's remote cardiac diagnostics and monitoring equipment, adding to its already robust arsenal of equipment that allows doctors and nurses to provide real-time remote care over the cloud.
Philips’ current portfolio includes real-time patient monitoring, therapeutic devices, telehealth and informatics.
BioTelemetry's cardiac monitor is connected to a patient's smartphone and can be worn for up to 30 days. Events are automatically transmitted to the patient's phone, then onto the cloud where technicians can read them 24/7.
The transaction is expected to be completed in the first quarter of 2021.
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