Asahi Kasei to Acquire Zoll Medical Corporation

Asahi Kasei (Tokyo, Japan), a manufacturer of synthetic fibers and industrial chemicals, has agreed to buy Zoll Medical (Zoll; Chelmsford, MA, USA), a maker of defibrillators and other critical care medical devices, for about USD 2.2 billion, in an effort to fortify its position in the health care business.

The acquisition extends the development of Asahi Kasei’s “Health Care for Tomorrow” project, under which the company seeks to advance the development of new businesses through organic growth, targeted acquisitions, and strategic alliances. A key focus area of this effort is the resuscitation sector, an area where ZOLL is already a market leader in the US and has a strong international market presence. The transaction builds on the alliance between the two companies that was announced in July 2011, under which Asahi Kasei has exclusive rights to market and distribute ZOLL’s automated external defibrillator (AED) PLUS, the first AED in Japan with a function supporting cardiopulmonary resuscitation (CPR) that incorporates voice guidance and message displays.

“In the medical devices business the US market leads the world not only in size and scope but also in technological innovation, so establishing a strong infrastructure in the US is an important step,” said Taketsugu Fujiwara, President of Asahi Kasei. “This transaction will allow us to build on Zoll’s strong US business position and its technology leadership, with Zoll forming the cornerstone of our critical care business.”

“We are delighted with this transaction and believe that it is in the best interest of our shareholders,” said Richard Packer, CEO of ZOLL. “In addition, we are convinced that Asahi Kasei’s ownership will create the right environment for ZOLL and its team to continue transforming the science of resuscitation. We believe that Asahi Kasei will provide the right kind of support to help launch ZOLL’s next phase of growth, and we are excited to be working together with Asahi Kasei.”

Upon completion of the merger, ZOLL will become a wholly owned subsidiary within the Asahi Kasei Group, managed by the current ZOLL management team and with all current business units and operations remaining intact; ZOLL will also be delisted from the NASDAQ stock exchange at that time.

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