Stryker Corp. announced Tuesday a deal to buy defibrillator maker Physio-Control International Inc. from private-equity firm Bain Capital for $1.28 billion in cash. The deal, which is expected to close at the beginning of the second quarter, is seen adding slightly to earnings in 2016. Stryker said its new adjusted earnings-per-share outlook for 2016 is $5.57 to $5.77, compared with the FactSet consensus of $5.61. "Physio-Control has achieved global leadership positions with a strong brand and customer-centered solutions that can predict or intervene in life-threatening emergencies," said Stryker Chief Executive Kevin Lobo. Stryker's stock, which was still inactive in premarket trade, has gained 0.7% over the past three months, while the S&P 500 has lost 9.2%.
Continue Reading Below
Copyright © 2016 MarketWatch, Inc.