Siemens Life Support Systems Bought By Getinge For Eur150 Million

Sweden’s has announced it has agreed to buy Siemens Life Support Systems, a division of , for about EUR150 million. In addition, Getinge said it will assume net assets worth about EUR50 million.

It said the cost of integrating Siemens LSS is expected to be at most EUR25 million, resulting in a goodwill value of around EUR175 million.Assuming that the necessary approval from the relevant competition authorities is obtained according to plan, then Siemens LSS will be consolidated into Getinge’s accounts from October this year. The financing of the acquisition will be carried out using Getinge’s existing credit facilities. Siemens LSS is expected to contribute to profits before tax of EUR10 million-EUR12 million in 2004 and EUR17 million- EUR20 million in 2005.

The long-term goal is for Siemens LSS‘ operating margin after goodwill to be 15%. Siemens LSS is a division of Siemens Medical Solutions, one of the largest suppliers to the healthcare industry in the world.

Siemens LSS develops, manufactures and markets ventilators and anesthesia equipment for the hospital market.

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