Haemonetics Corp. (HAE) announced a definitive agreement under which the company would acquire Global Med for approximately $60 million in a cash tender offer. The company would fund the acquisition from available cash and anticipates that it would continue to have more than $100 million in cash on the balance sheet at fiscal year end.
As per the terms of the deal, Haemonetics would begin a tender offer to buy all outstanding shares of Global Med's common stock at $1.22 per share and preferred stock at about $1,694 per share. Haemonetics expects the transaction to close in its fourth quarter fiscal 2010.
Additionally, the company tightened its fiscal 2010 guidance ranges to 8% - 9% revenue growth from 8% - 11% and earnings per share in a range of $2.80 - $2.85 compared with its prior range of $2.75 - $2.85. On average, 12 analysts polled by Thomson Reuters expected earnings per share of $2.82 for the quarter. Analysts' estimate typically excludes one-time items.
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