Moog buys medical pump maker
Moog Inc., an Elma company best known for its aerospace industry products, has bolstered its medical device group with purchase of a European medical pump maker.
Moog announced late Tuesday that is has acquired AITECS Medical UAB, a Lithuanian manufacturer of medical pumps for general hospital use, operating rooms and patient-controlled analgesia.
The local company paid $21 million in cash for the maker of syringe-style infusion therapy pumps.
“This acquisition is a great fit while broadening our product offering and geographic presence in the infusion therapy market,” Martin Berardi, president of Moog’s medical devices group, said in a statement.
Purchase of AITECS is expected to add $6 million to Moog’s medical devices sales revenues in its 2009 fiscal year which ends Oct. 3, 2009.
In an October Buffalo News interview, Moog Chairman Robert T. Brady indicated Moog was in the hunt for acquisitions if opportunities presented themselves.
“For one thing, we don’t need money. We have lots of available credit,” Brady said, noting Moog’s more than $500 million is cash and accessible borrowing capacity at a time when credit markets are extremely tight.
The Moog chief said he was shopping for an international firm that produces intervenous devices for the hospital markets to balance Moog’s domestic outpatient clinic pump lines.
Moog’s Medical Devices Group, which recorded $103 million in sales in Fiscal 2008, was established in 2006 with the acquisition of Curlin Medical. Subsequent acquisitions included the disposable ambulatory pump product lines of McKinley Medical, and Zevex Inc.
The pump line is focused on intravenous infusion therapy, wound perfusion and patient feeding.
The company also makes and distributes ultrasonic and optical sensors used to detect air bubbles and ensure accurate fluid delivery. its surgical hand pieces are used common medical procedures such as cataract removal.
Through September, Moog was showing positive results and strong growth, despite the slumping economy, with an 18 percent profit jump for its 2008 fiscal year.
Although the company did lower its profit forecast for the current year from $132 million, from $136 million, Brady predicted the recession “is not likely to have broad effect on [Moog].”
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