Enhanced Imaging Technologies Inc. on Wednesday said it has completed a $22-million takeover of a biomedical division of a Pittsburgh, Pa., conglomerate.
The deal with PPG Industries Inc. is expected to boost Enhanced Imaging’s annual revenue to $175 million, a threefold increase from its current sales of $50 million.
It also makes an international corporation out of Enhanced Imaging, an Irvine supplier of medical films, cardiac catheterization lab services and optical filters for electronic visual displays.
PPG’s biomedical division has offices, laboratories and equipment in Germany, Austria, France, Italy and the United Kingdom.
“This acquisition positions us to become a significant participant in the worldwide medical electronics business,” chief executive Peter Tong said in a prepared statement.
Enhanced Imaging announced Dec. 22 it had reached a tentative agreement with PPG to acquire its biomedical division. That announcement sent the company’s stock soaring, from $3.37 a share on Dec. 21 to $9.75 a share on Dec. 28.
Enhanced Imaging stock has since fallen. But Tuesday’s announcement sent the stock sharply up again on heavy volume. Shares closed at $6.50 a share on the Nasdaq market on volume of 43,400 shares--more than six times its three-month average--up $1.25 from Monday’s close.
The company said it is paying for the assets of PPG’s biomedical through a combination of cash, debt and preferred stock.