DuPont de Nemours Inc. DD said Tuesday it has reached an agreement to acquire Spectrum Plastics Group from AEA Investors for $1.75 billion cash. Spectrum is a manufacturer of specialty medical devices and components and serves 22 of the 26 top medical device original equipment manufacturers with a focus on fast-growing therapeutics areas such as structural heart, electrophysiology, surgical robotics and cardiovascular, Dupont said in a statement. The deal is expected to close by the end of the third quarter and to immediately boost DuPont’s adjusted per-share earnings. The deal will be funded using existing cash balances. Spectrum has more than 2,200 employees and has consistently achieved high single-digit growth rates for years, said the statement. “We have been focused on Spectrum for a long time and our team is extremely excited for this opportunity,” said Ed Breen, DuPont CEO. The stock has gained 1.1% in the year to date, while the S&P 500 SPX has gained 8.6%.
Market Pulse Stories are Rapid-fire, short news bursts on stocks and markets as they move. Visit MarketWatch.com for more information on this news.