BD to buy Durham’s Parata Systems for more than $1.5B in cash

Parata Systems, a provider of pharmacy automation technology, will be acquired by BDin an all-cash deal for $1.525 billion, the companies announced today.

BD is headquartered in New Jersey but has a significant presence in Durham.  The medical technology company said in a statement that buying Parata Systems will advance the company’s strategy to “accelerate innovation in smart, connected care and enable new care settings.”

The all-cash deal will also involve Frazier Healthcare Partners, a private equity firm, according to the statement.

BD noted in the statement that the deal to acquire Parata Systems will give “access to a new $600 million pharmacy automation market segment.”  That segment could grow by 10% annually and reach $1.5 billion, the statement indicates.

“BD is a great home for our company, innovative solutions and technology, and Parata’s team members,” said Rob Kill, CEO of Parata Systems in a statement.  The company’s revenue in the prior 12 months, ending March 31, 2022 was about $220 million, the statement noted.

DEEP TIES TO TRIANGLE

Parata acquired a Canadian firm in early 2021 and announced an expansion in Durham in 2019 that targeted completion in early 2020.  The company was founded in 2001 and the co-founders stepped down from daily operations roles in 2010.  The company spun off HAP Innovations in 2015.

BD formed a partnership with a Morrisville-based company in 2020 to develop a COVID-19 rapid test.  The company has a corporate R&D and technology center in Research Triangle Park and also other facilities in Durham and Mebane.  BD is among the companies mentioned in a recent WRAL.com publication that investigates North Carolina’s dominance in clinical research and diagnostic testing.  BD also announced a distribution facility to be based in Wilson in 2010 in an economic development project expected at the time to add 180 jobs.

Original Article Source: WRAL TechWire