Endo Pharmaceuticals' plan to buy out pelvic care company American Medical Systems for $2.9 billion is another step in Endo's quest to become more diversified, according to a report by Bloomberg Businessweek.
Having started with brand-name pharmaceuticals only, Endo has diversified into generic pain drugs and medical devices in recent years. In 2010, for example, the company bought HealthTronics, maker of a full line of urology equipment and products, including lithotripters and surgical lasers for treatment of enlarged prostate.
With the acquisition of AMS, Endo would get about 30 percent of its revenue from medical devices. AMS has a leading position in several product categories, including erectile dysfunction prostheses, male and female incontinence, and laser technology for enlarged prostate treatment.
"This acquisition is a great step in achieving Endo's core strategy," said Dave Holveck, president and CEO of Endo, in a release. "We will gain scale in devices and services, and will be positioned as a leading provider of healthcare solutions in the field of pelvic health, with a full spectrum of product offerings ranging from pharmaceuticals to medical devices."
Read the Bloomberg Businessweek report on Endo Pharmaceuticals.
Read the Endo Pharmaceuticals release on the American Medical Systems acquisition.
Read more coverage of Endo Pharmaceuticals:
- Endo Pharmaceuticals to Acquire American Medical Systems for $2.9B