Baxter International, maker of intravenous (IV) devices, is intending to buy Baxa, which makes devices used to prepare liquid medication. Baxter is headquartered in Deerfield, Ill., and is worth around $18 billion, according to public records.
Baxa operates from Englewood, Colo., and did around $150 million in sales last year.
Robert M. Davis, president of Baxter’s medical products business, said in a release that the expanded product portfolio, for which Baxter will pay $380 million cash, will allow the company to “fulfill the majority of patients’ nutritional requirements and increase efficiency in the pharmacy.”
In reporting the transaction, the Wall Street Journal noted that Baxa has been growing at around 5 percent annually and has an opportunity to increase that rate under Baxter’s management. The article also pointed out that Baxter’s sales grew by 2 percent last year, when its bottom line was hit by the recall of an infusion pump.