Teleflex buys Vascular Solutions for $1 billion

Medical technology provider Teleflex has announced it has agreed to medical device maker Vascular Solutions for around $1 billion.

Teleflex has offered $56 per Vascular share in cash which represents a premium of 1.6% to the stock’s close.

The deal comes about 10 months after Vascular Solutions and its founder CEO, Howard Root, were found not guilty in a criminal prosecution related to alleged “off-label” promotion of its varicose veins treatment, Vari-Lase Short Kit.

Shares of the company, which makes devices for minimally invasive coronary and vascular procedures, have nearly doubled since Root was exonerated in February.

“Following the jury verdict in February … I am not willing to assume much longer the personal risk associated with being the CEO of a public medical device company,” Root said.

Teleflex makes devices used in surgery, cardiac, respiratory and emergency care.

The transaction is expected to close in the first half of next year and add to Teleflex’s adjusted earnings in 2017.