15 December 2011
The company's board said that the deal fulfils its 'strategic acquisition criteria' as it boradens its technology portfolio in both wound care and wound closure; provide direct sales capability into Germany, Czech Republic and Russia; and further cross-selling potential.
AMS said Resorba was 'well known' to the company as it currently distributes its LiquiBand wound closure product and has done for the past eight years. The deal is expected to be earnings per share exnhancing in the 12 months to 31 December 2012.
To fund the acquisition, AMS announced a non pre-emptive institutional placing of 47.24 million new ordinary shares in the business to raise about £34m, together with a €25m term loan facility.
'Part of our core growth strategy has been to examine potential acquisition opportunities that strengthen our business with complementary technologies and greater market access, specifically in relation to the operating room segment of our global business, said AMS chief executive Chris Meredith.
'It is rare to find a business that fits our criteria as well as Resorba does. We have known the company for a number of years as a result of our LiquiBand relationship, and I am confident that the enlarged AMS Group will benefit from a wide range of commercial opportunities that will enable us to continue the strong process made in recent years.'
AMS said there was 'significant' shareholder support for the placing and added that Resorba's senior management team would invest 'a material proportion' of their net proceeds from the acquisition in AMS shares.