Chemical Giant Asahi Kasei to Buy Zoll

March 12, 2012
CEO of Asahi Kasei says U.S. leads world in medical device business both in size and technological innovation, so establishing a strong infrastructure in the U.S. is an important step for his company.

Japanese company Asahi Kasei said on March 12 that it will buy U.S.-based health care firm Zoll Medical for $2.21 billion in a friendly takeover.

The purchase underscores increasing moves by Japanese firms to tap overseas markets, a trend helped by the yen's recent strength which makes such acquisitions cheaper.

Asahi Kasei will offer $93 per share to Zoll shareholders, a 23.8% premium over company's closing price on March 9.

Taketsugu Fujiwara, CEO of Asahi Kasei said the acquisition of Zoll, a major producer of emergency resuscitation equipment, would boost Asahi's growth prospects.

Asahi Kasei, a chemical and fiber producer, also specializes in health care and housing products.

"In the medical devices business, the U.S. market leads the world, not only in size and scope, but also in technological innovation, so establishing a strong infrastructure in the U.S. is an important step for Asahi Kasei," Fujiwara said.

"This transaction will allow us to build on Zoll's strong U.S. business position and its technology leadership, with Zoll forming the cornerstone of our critical care business," he added.

Zoll will become a wholly owned subsidiary within the Asahi Kasei Group, which said it plans to keep the U.S. firm's management and its current business lines intact.

"We expect all parts of Zoll to continue to thrive as part of Asahi Kasei," said Zoll's Chief Executive Richard Packer.

Copyright Agence France-Presse, 2012

Popular Sponsored Recommendations

How Manufacturers Can Optimize Operations with Weather Intelligence

Nov. 2, 2023
The bad news? Severe weather has emerged as one of the biggest threats to continuity and safety in manufacturing. The good news? The intelligence solutions that build weather ...

Risk-Based Asset Management (RBAM): Accounting for Risk in Your Asset Management Strategy

Sept. 14, 2023
What if you could get more out of assets, reduce the risk of critical failures AND keep all your stakeholders happy? It’s called risk-based asset management, or RBAM, and it’ll...

Navigating Disruption: A Leader’s Guide to Strategy Under Uncertainty

Nov. 1, 2023
AI, sustainability, digital--industrials are facing disruptive forces that are redefining what it takes to win. What got your company where it is today won’t get you where you...

3D Printing a More Efficient Factory Floor

Nov. 16, 2023
Today’s additive manufacturing platforms make it simple to print a wide range of high-performing industrial parts as soon as possible and right where you need them — unlocking...

Voice your opinion!

To join the conversation, and become an exclusive member of IndustryWeek, create an account today!