The latest news have it that C.R Bard Inc. (NYSE:BCR) and its shareholders has finally approved the merger with Becton Dickinson. This is said to have followed after the majority of its shareholders approved the merger in unison meaning that a good number of the shareholder saw a good reason in merging with the Becton Dickinson and Company BDX. According to the sources close to C.R Bard, about 99% of the shares that participated in the vote favored the idea of merging with the later company. The merger is also expected to be closed in the fourth quarter of the year 2017.
What Was Contained in the Merger Agreement?
The agreement can be traced to April 23 this year when Becton, Dickinson which is the leading global medical technology company announced its interest in acquiring a portion of C.R Bard which would amount to $24 billion shares. Considering that the agreement is expected to close towards the end of 2017, some of the business analysts have expressed the fact that the acquisition is a strategic development which will generate benefits such as geographical expansion as well sustainability both in the short and in the long run.
The Main Benefits of Acquisition by C.R Bard
In a statement, the president of C.R Bard said, “ We believe that the development will provide benefits of medication management and infection prevention to C.R Bard’s customers and bolster its foothold in the global medical devices market” Though this statement, it is now clear to many that the company has registered more than 500 products internationally in full-year 2016.
There are a number of benefits expected to be accrued with the current merger or acquisition, according to analysts, the acquisition is expected to strengthen both entity’s solid ground as far the home healthcare market in the U.S is concerned. This is the reason why the research report by ‘Markets and Markets’ revealed that “the home healthcare market is expected to reach a total of $349.8 billion by the year 2020 which will be a growth of 9.0% (CAGR). Combined entity is also expected to allow the two entities to face challenges of competition as one entity.
CR Bard Inc. Closed yesterday’s stocks session at $320.88 after improving by $1.13 or 0.35%.