Hill-Rom completes takeover of Welch Allyn

Hill-Rom has announced the completion of its previously announced acquisition of fellow medical technology firm Welch Allyn.

The $2.05 billion acquisition (1.33 billion pounds) will see 2,500 members of Welch Allyn's staff join the Hill-Rom workforce, with Welch Allyn shareholders receiving $1.625 billion in cash and approximately 8.1 million newly-issued shares of Hill-Rom common stock.

Combining Hill-Rom's leading position in hospitals and operating rooms worldwide with Welch Allyn's leadership in the point of care diagnostics and testing market, the deal will allow the merged company to offer a wider range of solutions to patients.

For the 2016 fiscal year,the transaction is expected to add more than ten percent to Hill-Rom's adjusted earnings per share value, providing higher financial returns as time goes on.

John Greisch, president and chief executive officer of Hill-Rom, said: "Our companies share similar legacies of innovation, quality and employees who are passionate about enhancing outcomes for patients and caregivers."

Alton Shader takes over as the new president of the Welch Allyn business following the closure of the deal, with current leader Stephen Meyer set to leave after a period of transition and integration.