Danaher (NYSE:DHR) announced it has signed a definitive agreement to acquire all outstanding shares of Masimo (NASDAQ:MASI) for $180 per share in cash, valuing the deal at approximately $9.9 billion on an enterprise basis.
The acquisition strengthens Danaher's presence in specialty diagnostics and patient monitoring, particularly in acute care settings where Masimo's technologies, such as its flagship SET pulse oximetry and rainbow acoustic monitoring platforms, are widely used to improve clinical outcomes.
The transaction represents a multiple of approximately 18x Masimo's estimated 2027 EBITDA, or 15x including expected synergies.
Danaher anticipates Masimo will be accretive to its adjusted diluted EPS by $0.15 to $0.20 in the first full year post-closing and about $0.70 in the fifth year, while contributing more than $530 million in EBITDA by 2027.
The deal is expected to deliver over $125 million in annual cost synergies and more than $50 million in revenue synergies by the fifth year.
Masimo will continue under its brand as an autonomous unit within Danaher's Diagnostics segment, benefiting from Danaher's resources to accelerate global scaling and innovation in noninvasive monitoring.