ORANGE COUNTY, Calif. (AP) -- Biomedical diagnostics instrument maker Beckman Coulter Inc. said Friday it will buy Olympus Corp.'s lab-based diagnostics business for 77.45 billion yen, or $800 million.
Beckman Coulter said the deal will provide it with new chemistry products, give it more tests for sale to hospital laboratories, and bring new customers to its immune system tests. The company said it will cover $500 million of the buyout costs by issuing new debt, with the remainder -- up to 37.5 percent of the purchase price -- paid for in Beckman Coulter stock.
Beckman Coulter said it does not think ratings agencies will revise their outlook on the company based on the new debt.
Olympus is a health care, life science and consumer electronics company based in Tokyo. The diagnostics business is part of its life science unit.
Beckman Coulter said the buyout will add $40 million to $50 million to its adjusted profit in 2010, along with $500 million in revenue. It did not say if the purchase will increase its profit in 2009 or be neutral to its expectations. It also believes it can save $50 million to $60 million, before taxes, by combining its integrating sales, service, administrative and research and development activities with those of Olympus.
Earlier this month, Beckman Coulter forecast a profit of $3.85 to $4.05 per share in 2009, and revenue of $3.22 billion to $3.28 billion.
Beckman Coulter expects the buyout to close in the third quarter, pending regulatory approvals and other clearance.