Danaher to Buy Masimo for $9.9 Billion in Cash

Overview

• Danaher agreed to pay $180 per share for Masimo, valuing the deal at an enterprise value of about $9.9 billion.
• Masimo would operate as a standalone company within Danaher’s Diagnostics segment alongside Radiometer, Leica Biosystems, Cepheid and Beckman Coulter Diagnostics.
• Danaher projects Masimo will contribute more than $530 million of EBITDA in 2027 with over $125 million in annual cost synergies and more than $50 million in annual revenue synergies by year five.
• The company expects the acquisition to add $0.15 to $0.20 to adjusted EPS in the first full year and about $0.70 by the fifth year.
• Financing will come from cash on hand plus debt, with Citi and Goldman Sachs advising and Kirkland & Ellis serving as legal counsel.