Cardiac Science Withdraws Takeover Bid

Cardiac Science Inc. said Thursday it has withdrawn its bid to acquire Spacelabs Medical Inc., citing a lack of interest from the Redmond, Wash.-based maker of patient-monitoring devices and clinical information systems.

The Irvine manufacturer of external defibrillators also withdrew a slate of six alternative directors that it had nominated for Spacelabs’ board. Cardiac also is evaluating its holdings in Spacelabs--384,925 shares, a 4% stake.

Cardiac, which has been moving to acquire other companies to expand its customer base, offered in late November to acquire Spacelabs for $15 a share, or $143 million, in stock. Spacelabs, which had spurned an earlier bid, never responded.

Spacelabs executives would not return calls Thursday.

Cardiac was interested in acquiring Spacelabs because its defibrillators could be attached to the 65,000 Spacelabs monitors in hospital.

Cardiac’s announcement came after the close of U.S. stock markets. The stock closed at $5.25, up 25 cents a share, in Nasdaq trading. Spacelabs shares edged up 13 cents to $12, also on Nasdaq.

On Wednesday, Cardiac announced it had offered to acquire Artema Medical AB, a Swedish maker of patient monitors and defibrillators, for $20 million in stock. Artema, which has a strong presence in the Middle East, Europe and Asia, has 6,000 hospital-patient monitors in current use.