Medtronic Completes Acquisition of NGC Medical

Medtronic (Minneapolis, MN, USA) has completed the acquisition of NGC Medical (Novedrate, Italy), which manages cardiovascular suites, operating rooms, and intensive care units at around 30 hospitals in Italy.

Medtronic, which originally owned a 30% interest in NGC Medical, has gained full control after paying a further USD 350 million. Following the acquisition, Medtronic will be able to expand its hospital managed services through NGC to provide a complete suite of hospital managed services, starting from infrastructure design and turnkey installation, and up to material and equipment management. NGC will be operated as a separate entity, and will extend its service offerings throughout Europe, the Middle East, Africa, and China (EMEAC).

The purchase follows the formation of Medtronic Hospital Solutions in September 2013, with the intention of developing novel partnerships to provide services related to hospital operational efficiency. Medtronic Hospital Solutions’ initial focus was offering services to European cath lab facilities, with the first clients being University Hospital of South Manchester NHS Trust and Imperial College Healthcare NHS Trust (London), both in the United Kingdom, and Maastricht University Medical Center (The Netherlands).

“I am delighted that NGC will join Medtronic and add to our growing offering to hospitals and health systems,” said Rob ten Hoedt, executive vice-president and EMEAC region president for Medtronic. “As we are all acutely aware, current models of delivering healthcare are not sustainable, and Medtronic is intent on finding new ways to partner with physicians, hospital systems, patients, payers and governments around the world to meet their cost and access challenges and to deliver high-quality healthcare.”

“We are pleased to be part of Medtronic and to have the opportunity to apply the expertise, services and solutions we have developed over the past 30 years to a much broader group of hospitals and healthcare providers,” said Paolo Cremascoli, CEO of NGC Medical.

Through the Hospital Solutions business, Medtronic collaborates with hospitals by offering a suite of tools and process models to improve the quality and efficiency of service, including affordable access to latest technologies and treatment options. These efforts also address and expand patient care pathways, potentially increasing for patients at a time when hospitals and health systems are being challenged to meet the demands of an ageing population.

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