BD entering the new pharmacy automation solutions space via the Parata Systems acquisition

Becton, Dickson and Company (NYSE: BDX), a top medical tech corporation also known as BD, and leading private equity company, Frazier Healthcare Partners, announced they had entered into a definitive merger agreement whereby BD is to acquire Parata for a consideration price of about $1.5 billion.

Parata System’s portfolio of new and exciting pharmacy automation solutions drives an ever-growing network of pharmacy establishments to enhance patient experience, improve patient safety and reduce costs. Significant macro trends like increased clinical demands, centralization of pharmacy services, wage inflation and clinician shortages are helping drive the demand for more intelligent workflow systems.

How does top management feel?

BD President, Chief Executive Officer and Chairman, Tom Polen, said:

He claimed that Parata will help expand their company’s solutions to a new space the of high-growth pharmacy automation industry and is a good example of them executing their disciplined M&A strategy. Parata Chief Executive Officer, Rob Kill, added:

Mr Kill claimed that the combination will further advance their goal of powering pharmacy establishments to help improve lifestyle conditions.

Details of the transaction

The deal is an all-cash transaction worth $1.525 billion and both parties expect to close the transaction by the end of BD’s second quarter in the 2023 fiscal year. The deal is consistent with the company’s balanced and disciplined capital allocation strategy.