TOKYO (AP) -- Japanese medical-equipment manufacturer Terumo Corp. said it will buy U.S. firm CaridianBCT for $2.63 billion.
Terumo, which first announced the deal Monday, said it plans to complete the purchase by May of this year. The large manufacturer said the acquisition will make it the biggest company by sales in the growing global blood transfusion industry.
Terumo becomes the latest Japanese company to take advantage of the strong yen to purchase companies abroad. Last month, Fujifilm Corp. said it will buy Merck & Co.'s biomanufacturing network for an undisclosed amount.
CaridianBCT, based in Colorado, makes medical devices such as automated blood-collection machines. The company is currently owned by Sweden's Gambro.
Terumo is targeting the blood transfusion market as a specialized and expanding sector in global health care, the company said in documents outlining the deal. It said that aging populations in developed countries coupled with better health care in emerging nations will spur demand for blood transfusions in the future.
The company said it will use cash and bank loans to fund its purchase.
Investors in Tokyo applauded the plan, sending Terumo shares up 3.2 percent to 4,640 yen on Tuesday.