AIP to acquire Avanos Medical for $1.27bn

US-based Avanos Medical has entered a definitive statement to beryllium acquired by affiliates of American Industrial Partners (AIP) successful an all-cash transaction that values the institution astatine an endeavor worth of astir $1.27bn.

Under the agreement, Avanos Medical shareholders volition person $25 successful currency for each stock of communal banal they own.

The per stock acquisition terms represents a 72.1% premium implicit the company’s closing banal terms connected the past trading time earlier the announcement this month, and an 82.8% premium implicit the company’s 30-day volume-weighted mean stock terms for the play ended this month.

Avanos Medical’s Board of Directors unanimously approved the transaction.

Closing is expected successful the 2nd fractional of 2026, pending modular conditions, including Avanos stockholder approval, expiry of the Hart-Scott-Rodino Antitrust Improvements Act waiting period, and different regulatory consents. The woody is not taxable to a financing condition.

After closing, Avanos Medical volition go a backstage institution based successful Alpharetta, Georgia, and its communal banal volition nary longer beryllium listed connected the New York Stock Exchange.

JP Morgan Securities is serving arsenic pb fiscal advisor to Avanos Medical, and Alston & Bird is acting arsenic its ineligible counsel.

UBS Investment Bank besides served arsenic fiscal adviser. In addition, Joele Frank, Wilkinson Brimmer Katcher is acting arsenic strategical communications adviser.

Sidley Austin is acting arsenic ineligible counsel to AIP, with Baker Botts arsenic regulatory counsel.

Avanos Medical CEO David Pacitti said: “Over the past respective years, we person taken deliberate steps to go a much focused aesculapian exertion organisation, leaning into the categories wherever we tin present the astir objective value.

"Partnering with AIP volition amended alteration america to physique connected our progress, beforehand our innovation roadmap, and fortify our competitory presumption with enhanced flexibility and resources.

"I look guardant to moving with AIP arsenic the Avanos squad begins a caller chapter, marked by maturation and compelling benefits for employees, patients, customers, and each our stakeholders."

"AIP to get Avanos Medical for $1.27bn" was primitively created and published by Hospital Management, a GlobalData owned brand.

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