Feb. 17 at 8:55 PM
Masimo shares surged 34% after agreeing to be acquired by Danaher for
$180 per share in cash, valuing the deal at about
$9.9 billion. The offer represents a significant premium to Masimo’s prior market value of roughly
$7 billion.
Masimo, known for pulse oximetry and patient-monitoring technology, will operate as a standalone unit within Danaher’s diagnostics segment. The acquisition is expected to strengthen Danaher’s diagnostics portfolio and add 15 to 20 cents to adjusted EPS in the first full year after closing, rising to about 70 cents by year five.
Masimo reported preliminary 2025 revenue of
$1.52 billion, up 9%, and is projected to generate more than
$530 million in EBITDA by 2027. Danaher expects over
$125 million in annual cost savings by the fifth year.
Despite the strategic rationale, Danaher shares fell about 3%, extending their year-to-date decline.
$MASI $DHR