Cook medical sent a press release to the Bloomingtonian Monday evening, which says the company’s reproductive health product portfolio is being sold to CooperCompanies for $875 million. The press release says some of the medical products are manufactured in Spencer, Indiana, but no jobs will leave the area as a result of the sale. The press release also states Cook Medical and Cook Group will continue to be privately held.
CooperCompanies is a medical device company based in San Ramon, California. The company has 12,000 employees, according to WikiPedia.
CooperCompanies trades on the New York Stock Exchange as (NYSE:COO), and closed Monday at 386.90 per share.
Here is the full text of a press release sent by Cook Medical to the media Monday evening:
“February 7, 2022
Cook Medical Reproductive Health business to be acquired by CooperCompanies
Bloomington, Indiana — Cook Medical today announced it signed a letter of intent with CooperCompanies to sell the entirety of Cook’s Reproductive Health business within the MedSurg division. CooperCompanies (NYSE:COO), a publicly held healthcare company, is focused on women’s health and fertility solutions, providing innovative products and services for every step in the ART journey. Under the proposed transaction, CooperCompanies will pay $875 million comprised of $675 million at closing and $200 million paid in four $50 million annual installments. The proposed transaction is subject to compliance with applicable local consultation obligations and regulatory approvals.
For more than 40 years, Cook has had a focus on Reproductive Health, successfully developing products for obstetrics and gynecology, In Vitro Fertilization (IVF) and Assisted Reproductive Technology (ART). Cook’s history with Reproductive Health is full of innovations that help patients fulfill their dreams of having a family, including developing the first needle specifically for IVF treatments.
“Our history with reproductive health has been full of innovations to help patients fulfill their dreams of having a family,” said D.J. Sirota, senior vice president of Cook Medical’s MedSurg specialty. “This agreement represents more than a simple transaction; it is a commitment to offer a more complete range of solutions to customers and patients around the world. CooperSurgical is uniquely positioned to combine Cook’s reproductive health portfolio with their resources and plans to significantly invest in this product portfolio.”
William Cook Australia, Cook Spencer, and Cook Vandergrift all currently manufacture reproductive health devices. After the closing of the transaction, Cook will continue to manufacture products for CooperSurgical during a two-year transition period and will increase manufacturing capacity to keep up with growth. No manufacturing jobs are at risk because of this partnership. Employees in manufacturing who support these products will continue to do so during the transition period and eventually will cross train to manufacture other Cook Medical products.
“Like we always have been, we remain committed to the communities where we have facilities and employees, including Spencer, Vandergrift, and Brisbane where these products are manufactured,” said Pete Yonkman, president of Cook Medical and Cook Group. “This agreement will allow us to invest in future growth and new technologies. The rest of the Cook organization will continue as privately held, family-owned companies with no plans to change that status.”