GÖTEBORG, Sweden--(BUSINESS WIRE)--Regulatory News:
Getinge Group’s business area Infection Control, a global leader in infection control and contamination prevention solutions, has acquired Stericool, a Turkish company specializing in low temperature sterilization, and also signed an exclusive global distribution agreement with Canadian company TSO3 Inc., an innovator in sterilization technology for medical devices. The acquisition and distribution agreement are in line with Getinge’s strategy to strengthen customer offerings with new innovations and to offer a product range for different markets.
“Today’s announcement marks a major milestone in Getinge’s latest offerings to our customers. As a global leader in infection control, Getinge has a unique opportunity not only to enter into the fast growing low temperature sterilization market, but also to leverage our legacy of excellence as a complete solutions provider,” says Joacim Lindoff, Executive Vice President of Infection Control.
The minimally invasive surgery (MIS) market is a leading indicator of growth for the low temperature sterilization market. The instruments used in such surgeries are extremely sensitive to the high temperatures and pressure of a steam sterilization process. As the minimally invasive surgery market continues to grow at an expected compound annual growth rate of 10 %*, demands for alternatives to steam sterilizers will also increase thereby providing great potential for accelerated business growth within infection control. Estimation on the annual replacement and new business worldwide for low temperature sterilizers totals more than 2,300 units or approximately 1,7 BSEK.
* Figure based on a recent study by Transparency Market Research (TMR), a market intelligence firm based in the United States.
Acquisition of Stericool
Founded in 2008, Stericool has its headquarters and manufacturing site in Ankara, Turkey, with a total of 20 employees. Its sales are expected to total 20 MSEK in the current calendar year. The company manufactures hydrogen peroxide based solution low temperature sterilizers for emerging markets. The acquisition will be included under the Group’s new business category unit Surgical Workflows and will increase potential for growth in the price sensitive Tier 2 markets in East/ South Europe and rest of the world. Consolidation of Stericool into Getinge Group will take place from January 1, 2016. Net sales in 2016 is estimated at 25 MSEK and EBITDA is expected at 4,5 MSEK.
Getinge has also signed an agreement with TSO3 providing exclusive global distribution rights for its FDA cleared, STERIZONE VP4 Sterilizer – a dual sterilant, low temperature sterilization system that utilizes vaporized hydrogen peroxide and ozone. The STERIZONE VP4 Sterilizer was cleared for commercialization in the United States in December 2014 and recently received clearance in Canada to terminally sterilize multichannel flexible endoscopes. The partnership with TSO3 offers a premium solution for the Tier 1 markets and immediate sales opportunity in the United States. The five year agreement includes a one-off license fee amounting to approximately 65 MSEK. Estimated annual net sales are approximately 430 MSEK by 2020.
Founded in 2008, GOA Teknoloji Danismanlik Elek. Imalat Tic. Ithalat Ihracat A.S. (Stericool) is a privately held company based in Ankara, Turkey. Based on new development in close cooperation with local university in Ankara, the company is dedicated to develop, manufacture, sell and service an affordable range of low temperature sterilizers based on H2O2 plasma technology. For more information about Stericool, visit the company website at www.stericool.com
Founded in 1998, TSO3’s activities encompass the sale, production, maintenance, research, development and licensing of sterilization processes, related consumable supplies and accessories for heat-sensitive medical devices. The Company designs products for sterile processing areas in the hospital environment that offer an advantageous replacement solution to other low temperature sterilization processes currently used in hospitals. It also offers services related to the maintenance of sterilization equipment and compatibility testing of medical devices with such processes. For more information about TSO3, visit the company's web site at www.tso3.com or contact Liolios Group at (949) 574-3860 or email TOS@liolios.com.
About Getinge Infection Control
Getinge Infection Control (Getinge) is one of three business areas within Getinge Group, a publicly-listed, Swedish-based group of companies. The Getinge Infection Control business area consists of two divisions; Healthcare and Life Science. For the Healthcare sector, Getinge provides solutions for infection control whereas for the Life Science sector, Getinge is a key provider of solutions for contamination prevention.
Worldwide, Getinge ranks among the leading providers of washers and sterilizers within the healthcare and life science segments. Since its foundation in 1904, Getinge has stood for innovation and technological progress in the field of washing and sterilization. Together with the other two business areas, Extended Care (ArjoHuntleigh) and Medical Systems (Maquet), the entire Getinge Group focuses on state-of-the-art medical technology.
The Getinge Infection Control organization is to be found all over the world, with 36 subsidiaries on six continents and over 230 distributors and partner companies in sales and service representing Getinge Infection Control.
Getinge Group is a global leading medical technology company that operates in the areas of surgery, intensive care, infection control, care ergonomics and wound care. Getinge Group has nearly 16,000 employees in over 40 countries and generates sales of almost SEK 27 billion (2014). The Group is divided into three business areas: Medical Systems, Extended Care and Infection Control and operates under the brands of Maquet, ArjoHuntleigh and Getinge.
The information is such that Getinge AB must disclose in accordance with the Swedish Securities Market Act and/or the Financial Instruments Trading Act.
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