US firm Steris Corp buys Synergy Health for $1.9bn
US pharmaceuticals firm Steris Corp. said Monday it has agreed a $1.9-billion (1.5-billion-euro) takeover of Britain's Synergy Health, in a deal which will cut its tax bill.
"The boards of Steris and Synergy are pleased to announce that they have reached agreement on the terms of a recommended combination," the pair said in a statement.
The new company will establish its joint tax headquarters in Britain under the terms of the cash-and-shares offer, which values the sterilisation services group at £19.50 per share.
That is 39 percent higher than Synergy's closing share price on Friday.
Steris shareholders will own 70 percent of the new group, while Synergy investors will own the remaining 30 percent.
The new combined group, which will be incorporated in Britain, is expected to have an effective taxation rate of 25 percent.
Steris had a tax rate of 31.3 percent for its 2014 fiscal year which ended on March 31.
© 2014 AFP
